The carrying value of bonds increases each interest period if the bonds were issued at a discount.

Name: The carrying value of bonds increases each interest period if the bonds were issued at a discount.
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If bonds were issued at a discount, their carrying value will increase each interest period as a portion of the discount is amortized and added to the bond's carrying value. This process will continue until the bond's carrying value equals its face value at maturity.

The Carrying Value of Bonds Increases Each Interest Period If