Gammell Company issued $50,300 of 9% bonds with annual interest payments. The bonds mature in ten years. The bonds were issued at $48,150. Gammell Company uses the straight-line method of amortization. Which of the following statements is incorrect? Multiple Choice The annual interest expense exceeds the annual cash interest payment by $215. The market rate of interest exceeded the coupon rate of interest when the bonds were issued. The annual interest expense is $4,312. O The annual increase in the bond book value is $215.