Nbspallocates bond interest expense over the bonds life

Question

The effective interest amortization method:

a. Allocates bond interest expense over the bond's life using a changing interest rate.

b. Allocates bond interest expense over the bond's life using a constant interest rate.

c. Allocates a decreasing amount of interest over the life of a discounted bond.

 

d. Allocates bond interest expense using the current market rate for each interest period.