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Which of the following statements is correct regarding bond interest and amortization? The carrying value of a premium bond increases each period due to
Which of the following statements is correct regarding bond interest and amortization? The carrying value of a premium bond increases each period due to amortization. The amortization amount per period changes due to changes in market interest rates. For a zero-coupon bond, interest expense will be equal to interest payable every period. The closer the coupon rate is to the market rate at issuance, the lower the amount of amortization.
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