How are premium and discounts presented on the balance sheet

Reference no: EM131342671

1. Describe how the relationship between the stated rate and yield rate affect the price at which bonds are sold.

2. How are premiums and discounts presented on the balance sheet?

3. How do premiums and discounts on long-term debt securities affect interest expense?

4. What is the difference between the straight-line and effective interest rate methods of amortizing premiums and discounts?

Reference no: EM131342671

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