Question: 1. Why would a note payable be issued at a discount? 2. How are the costs of issuing a bond accounted for? 3. Provide one

1. Why would a note payable be issued at a discount?

2. How are the costs of issuing a bond accounted for?

3. Provide one reason why a borrower might wish to retire debt obligations before their maturity dates.

4. What is off-balance-sheet financing? Why might a company be interested in this type of financing?

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