Joyful Travel, Inc. needs to raise $20 million. If the company chooses to issue zero-coupon bonds and use the effective interest rate method, the carrying amount of the bond will most likely:

Select one:

a. Remain constant throughout the life of the bond.

b. Increase as the maturity date approaches.

c. Decrease as the maturity date approaches.

d. None of other choices.

e. Increase or decrease depending on the market condition.