how-is-the-premium-on-bonds-payable-amortized-using-the-straight-line-method

Question

How is the premium on bonds payable amortized using the straight-line method?

Accepted Answer

By dividing the total premium by the number of interest payments

Answer

By multiplying the total premium by the number of interest payments

Answer

By dividing the total premium by the bond's face value

Answer

By subtracting the total premium from the bond's face value