The amount of interest expense reported on the income statement will be more than the interest paid to bondholders if the bonds were originally sold at a discount.

When bonds are sold at a discount, the bondholders receive less cash initially, but are paid back more than they initially invested (face value of bonds) at maturity. As such, the difference between the initial cash received and the face value paid back is amortized over the life of the bond as additional interest expense. This results in the reported interest expense being more than the interest paid to bondholders each year.