An investor purchased a bond as a long-term investment on January 1. Annual interest was received on December 31. The investor's interest income recorded would decrease each year if the bond were purchased at: Select one: a. Par b. A discount, and the straight-line method was used c. A discount, and the effective method was used d. A premium, and the effective method was used e. A premium, and the straight-line method was used Glacier Corporation discovered these errors in August of Year 3: Assume all current items are two months in duration. Net Income for Year 2 was $18,000. Assume all errors are discovered in August of Year #3. The Year #2 books are closed. The net effect on Year #3 Beginning Retained Earnings caused by the August Year #3 correcting journal entries was: Select one: a. $5,500 b. $6,200 c. $1,800 d. $3,700 e. $6,800