Unamortized debt discount should be reported on the balance sheet of the issuer as
A)A direct deduction from the face amount of the debt
B)A direct deduction from the present value of the debt
C)A deferred charge
D)Part of the issue costs

Question

Quizplus · Accepted Answer

Unamortized debt discount is reported as a direct deduction from the face amount of the debt on the balance sheet, reducing the carrying amount of the debt liability.

Unamortized Debt Discount Should Be Reported on the Balance Sheet