The coupon rate a company pays on a bond is the most obvious cost of debt financing, but it isn't the only cost of financing. The price at which a company sells its bonds -- and the resulting premium ...

Amortization is an accounting technique used to distribute asset value or loan principal over time. There are different techniques for calculating amortization and depreciation and there is guidance ...

When companies issue a bond, they do so with a par value and a coupon rate: the terms that dictate the yield of the bond for potential investors. However, once they reach the market, bonds can trade ...

Steven Nickolas is a writer and has 10+ years of experience working as a consultant to retail and institutional investors. Dr. JeFreda R. Brown is a financial consultant, Certified Financial Education ...

Carrying value equals bond face value plus unamortized premiums or minus discounts. Calculate it using face, current term, and premium or discount per year. Investors use carrying value to assess bond ...

Bank deposits, Mutual Funds, Stocks, Futures, and Options– investors always seek new investment avenues. There is a wide range of security alternatives available based on the risks associated and the ...