If bonds are issued initially at a premium and the effective-interest method of amortization is used, interest expense in the earlier years will be

If bonds are issued initially at a premium and the effective-interest method of amortization is used, interest expense in the earlier years will be

a. greater than if the straight-line method were used.
b. greater than the amount of the interest payments.
c the same as if the straight-line method were used.
d. less than if the straight-line method were used.


Answer: greater than if the straight-line method were used