Which of the following statements correctly describes the accounting for bonds that were issued at a premium? 22 Multiple Choice 8 01:06:22 The interest expense over the life of the bond is more than the total cash interest payments. Annual interest expense decreases as the bonds mature when the effective interest method is used. The amount of amortization of the premium on bonds payable stays the same as the bonds mature when the effective interest method is used. The book value (carrying value) of the bond liability increases over the life of the bond