An Asset Acquired Using a Long-Term Note Payable Always Will

An asset acquired using a long-term note payable always will be recorded at the face amount of the note under which scenario?

A) The note payable explicitly requires the payment of interest at a realistic interest rate.
B) The note is a noninterest-bearing note.
C) The company expects to use the asset for its entire physical life.
D) Interest on the note is not payable until the note is due.

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