How to Amortize a Bond Premium: Revision history

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21 March 2023

  • curprev 15:4215:42, 21 March 2023 Lukegao1 talk contribs 2,009 bytes +2,009 创建页面,内容为“ Amortizing a bond premium involves gradually reducing the premium paid on a bond over its life. Bond premium is the amount paid for a bond that exceeds its face value, or par value. This premium can be amortized over the life of the bond, reducing the effective interest rate paid by the bondholder. Here are the steps to amortize a bond premium: 1. Calculate the premium: Determine the premium paid for the bond by subtracting its face value from the purchase…”