Amortization-of-a-Bond-

Bonds are securities that can be easily bought and sold. The bond issuer pays the interest rate mentioned in the indenture, which is the contract rate. The contract rate is also referred to as the coupon rate, stated rate, or nominal rate.

To complete this Discussion assignment:

  1. Review the Effective Interest method of amortization.
  2. Think about how the purpose of the Effective Interest method relates to the amortization of bond premiums and discounts.

Note: The length of your response should be a minimum of 150 words.

By Day 5 of Week 6

Post your response that describes both how the Effective Interest method of amortization works; and how its purpose relates to the amortization of bond premiums and discounts.

 
Do you need a similar assignment done for you from scratch? We have qualified writers to help you. We assure you an A+ quality paper that is free from plagiarism. Order now for an Amazing Discount!
Use Discount Code "Newclient" for a 15% Discount!

NB: We do not resell papers. Upon ordering, we do an original paper exclusively for you.