Amortization of discount on bonds payable will make the amount of interest expense less than the cash owed for interest for that year.

Name: Amortization of discount on bonds payable will make the amount of interest expense less than the cash owed for interest for that year.
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Amortization of discount on bonds payable increases the amount of interest expense reported on the income statement because it adds the amortized amount to the actual interest paid during the period.

Amortization of Discount on Bonds Payable Will Make the Amount