Answer:
I and III are true
Step-by-step explanation:
A premium municipal bond is a security that is purchased at a price that exceeds its par value and with a coupon rate that is greater than the market interest rate. Municipal bonds are issued at premium prices to guard against taxes. In a situation where the bond pays tax exempt interest, the bond investor must amortize the bond premium
From the question, Municipal original issue premium bonds must be amortized and Municipal market premium bonds must be amortized are the correct answer options.