Question 21 If an issuer retires a debt issue before its maturity, the amount paid to do so is called the: A) sinking fund amount. B the discount. Ⓒ par or face amount. D amortized payoff. E call price.
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- #205 The amortization of bond premium on long-term debt should be presented in a statement of cash flows (using the indirect method for operating activities) as a(n) Question 205 options: deduction from net income. investing activity. addition to net income. financing activity.Q413. The effective-interest method of amortization assumes a stable a. interest expenseb. interest ratec. book valued. amortization amount
- Which of the following is a current liability? Select one: O a. A long-term debt maturing currently, which is to be paid with cash in a sinking fund O b. A long-term debt maturing currently, which is to be converted into ordinary shares O c. None of these O d. A long-term debt maturing currently, which is to be retired with proceeds from a new debt issueNoneA4
- t10Question 27 The face value of a bond is O a. The amount payable at the maturity date. O b. The amount used to calculate periodic interest payments. O c. The par value of the bond. O d. All of the above are correct. Moving to another question will save this response.15. The amortization of bond premium on long-term debt should be presented in a statement of cash flows (using the indirect method for operating activities) as a(n) deduction from net income. investing activity. addition to net income. financing activity.