The excess of a bond's issue price over its face value is known as the: Discount Effective interest amount Coupon interest amount Premium None of the above When the market interest rate is 10% and the coupon rate is 11%, a bond sells at: a discount a premium at par none of the above cannot be determined without more information The spreading of the discount over the life of the bond is called discount amortization. True False Which of the following would be classified as an operating activity on a statement of cash flows? purchase of inventory sale of another company's stock borrowing money through a promissory note payment of dividends purchase of a building All of the following activities would be included in a company's operating activities except: payments to employees payment to a local government for property taxes payment to suppliers payment to the bank to reduce loan balance payment to the landlord for rent All of the following would be included in a company's investing activities except: taking out a loan from the bank purchase of equipment sale of another company's stock making loans to another company sale of a building