If bonds are initially sold at a discount and the straight-line method of amorti

Question

If bonds are initially sold at a discount and the straight-line method of amortization is used, interest expense recorded in each period will exceed what it would have been had the effective-interest method of amortization been used, for the first few interest periods. be less than what it would have been had the effective-interest method of amortization been used throughout the term of bonds. be the same as what it would have been had the effective-interest method of amortization been used. be the same as cash interest paid.

Explanation / Answer

C. be the same as what it would have been had the effective-interest method of amortization been used.

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