Which of the following statements pertaining to fixed-rate non-current instalment notes payable is correct?
A) Blended payments result in the same amount of principal being paid at every payment date.
B) When blended payments are made, a progressively larger portion of the payment goes toward the principal while a progressively smaller portion of the payment goes toward the interest.
C) When blended payments are made, a progressively smaller portion of the payment goes toward the principal while a progressively larger portion of the payment goes toward the interest.
D) Blended payments do not apply to non-current instalment notes payable.
Correct Answer:
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