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A discount on bonds payable: Increases the Bond Payable account. Is not allowed in many states to protect creditors. Occurs when a company issues bonds
A discount on bonds payable:
Increases the Bond Payable account.
Is not allowed in many states to protect creditors.
Occurs when a company issues bonds with a contract rate less than the market rate.
Decreases the total bond interest expense.
Occurs when a company issues bonds with a contract rate more than the market rate.
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Contemporary Auditing
Authors: Michael C. Knapp
11th edition
1305970810, 9781337514811, 1337514810, 978-1305970816
