How does the amortization of a discount affect the difference between cash interest payments and interest expense?

• A. Interest expense is lower than cash interest payments due to the amortization of the discount.
• B. Interest expense is higher than cash interest payments due to the amortization of the discount.
• C. Interest expense equals cash interest payments regardless of amortization.
• D. Amortization of the discount does not affect interest expense.

Answer: (B)