Accounting for Bonds

Опубликовано: 10 Август 2024
на канале: MA Accounting Hub

122

‪@maaccountinghub‬

Accounting for Bonds:

In this video you will learn the basic accounting treatment of bonds.
Bond accounting is the process of recording financial transactions related to bonds in a company's financial statements.

Key concepts in bond accounting include:

Face value:
The stated amount of the bond to be paid at maturity.

Bond discount:
The difference between the bond's face value and its issue price when the market interest rate is higher than the coupon rate.

Bond premium:
The difference between the bond's face value and its issue price.

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