<div><iframe style="height: 100px"></iframe></div>
<div style="line-height: 0"><iframe style="height: 100px"></iframe></div>
Click here to view the code snippet on jsFiddle.
Upon inspecting the DOM, it is evident that the first div has a height of 108px while the second one's height is 104px. Despite the iframe with borders being 104px, it inexplicably adds 4 extra pixels when line-height is set.
This behavior was observed and tested on Chrome version 28.0.1500.71 for Mac OS.