Question 4: Choose "true" or "false" as applicable for the following items as they pertain to bonds issued at a premium.

a. On the date of issuance, the net book value of the bonds payable will be higher than face value.

[ Choose ] False True

b. Upon maturity, the net book value of the bonds payable will equal face value.

[ Choose ] False True

c. As the premium is amortized each interest period, a reduction to interest expense will be recorded.

[ Choose ] False True

d. As the premium is amortized each interest period, the net book value of the bonds payable will decrease.

[ Choose ] False True

e. The amortization of the premium each interest period impacts the amount of cash paid each interest period.

[ Choose ] False True

f. The premium on bonds payable ledger account is a contra liability account.

[ Choose ] False True