The interest paid semiannually on a bond payable is set by the bond contract and remains the same over the life of the bonds.

Name: The interest paid semiannually on a bond payable is set by the bond contract and remains the same over the life of the bonds.
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Question

Quizplus · Accepted Answer

The interest paid on a bond payable is usually fixed and specified in the bond contract. This fixed interest rate is paid semiannually until the bond matures, and does not change over the life of the bonds. Therefore, the statement is true.

The Interest Paid Semiannually on a Bond Payable Is Set