标题: FSA: amortization of discount or premium [打印本页] 作者: giakhanh39 时间: 2013-4-1 12:58 标题: FSA: amortization of discount or premium
a simple questino, when par cost, is it a discount need to amortized ? Thanks.l作者: jarobi04 时间: 2013-4-1 12:58
Yes it will be added in interest expense.
Debit Interest Expense
Credit Discount on Bond
Credit Cash作者: RoastBeef 时间: 2013-4-1 12:58
I know this was all level 1 stuff but i think i forgot it all.
in the example above if par is 10,000, cost was 9,000 YTM 5%, coupon 4% , how would you calculate the the different charges.
A quick recap would be greatly appreciated.
