41.The interest portion of an installment note payment is computed by multiplying the interemainder price by the carryingamount of the note at the finish of the duration.

a.True

b.False

42.Bonds payable need to be reported on the balance sheet at confront worth plus or minus any type of unamortized premium ordiscount.

a.True

b.False

43.The balance in a bond discount account should be reported on the balance sheet as a deduction from the relatedbonds payable.

a.True

b.False

44.The balance in Premium on Bonds Payable must be reported as a deduction from Bonds Payable on the balancesheet.

a.True

b.False

45.The greater the variety of times interemainder charges are earned proportion, the better the creditors’ protection.

a.True

b.False




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46.The variety of times interemainder charges are earned ratio is calculated by separating Bonds Payable by Interemainder Expense.

a.True

b.False

47.The principle of current worth is that an amount of cash to be obtained at some day in the future is the indistinguishable ofthe very same amount of cash hosted at an previously date.

a.True

b.False

48.An equal stream of regular payments is dubbed an annuity.

a.True

b.False

49.The buyer determines exactly how much to pay for bonds by computing the existing value of future cash receipts utilizing thecontract price of interest.

a.True

b.False

50.The present value of the regular bond interemainder payments is the worth this day of the amount of interemainder to be receivedat the finish of each interest period.

a.True

b.False


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