When a bond has been issued at a discount,the carrying value at the end of one period is equal to the carrying value at the beginning of the period plus the amount of discount that was amortized during the period.

Question

Quizplus · Accepted Answer

This statement is true as per the accounting treatment of a bond issued at a discount, where the discount is amortized over the life of the bond, resulting in an increase in the carrying value of the bond each year. Therefore, the carrying value at the end of one period is equal to the beginning carrying value plus the amount of discount amortized during the period.

When a Bond Has Been Issued at a Discount,the Carrying