are these correct? Which of the following statements incorrectly describes...
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Accounting
are these correct?
Which of the following statements incorrectly describes the accounting for bonds that were issued at a premlum? Multiple Choice The market rate of interest is less than the coupon interest rate. The book value of the bond liability decreases when interest payments are made on the due dotes The interest expense over the iffe of the bonds will be less then the cesh interest payments. The present value of the bonds fufure cash flows is less than the bonds' maturty value. A company prepared the following journal entrv: Which of the following statements correctly describes the effect of this journal entry on the financlal statements? Multiple Choice Stocktiolders' equity increpses by the amount of the credit to premium on bonds payable Premium on bonds paysble is reported on the balance sheet as a contra-labiliry account Total liabitities inctease by the omount of the debrt to cash. The credit to bonds payoble is the amountreperted os a cash fiow from financing sctevites
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