Interest expense in the earlier years if the bonds are issued initially at a premium and effective interest method of amortization will be greater than if the straight-line method were used.
Amortization is a technique used to lower the book value of the loan over a period of time. It schedules how much interest and principal is paid over time.
Few of amortization method are straight line, declining balance, negative amortization etc. The most commonly used method is straight line, this method evenly distributes payments over the plan and requires less financial calculations.
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