标题: Accounting of a zerocoupon bond [打印本页] 作者: firat 时间: 2013-4-10 19:17 标题: Accounting of a zerocoupon bond
A company sells a longterm, zerocoupon bond. The company’s cash flow from operations in subsequent years, compared to what it would have been if the company had issued debt at par for the same proceeds, will be:
A) overstated.
B) understated.
C) properly stated作者: OmarAdnan 时间: 2013-4-10 19:24
do not understand… in your choices Choice C is “Properly stated”, but you seem to be saying “overstated” in your answer as well.
