3 3 points On January 1, Year 1, Booker Corporation issued a...
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On January Year Booker Corporation issued a $ face value bond that sold for The bond had a fiveyear term and paid annual interest. The company used the proceeds from the bond issue to buy land. The land was leased for $ of cash revenue per year and was sold at the end of the th year for $ cash. The straightline method of amortization is used. Interest expense reported on the income statement over the life of the bond would
increase by $ each year.
be the same each year.
decrease by $ each year.
equal the stated rate of interest.
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