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5.8 Problem #2 Accounting for Bonds

Exercises

Here is a brand-new bond. Use the following bond information to fill in the table below.
Given: Coupon = 0%
Discount Rate = 8%
Maturity 3 Years
Compounding Frequency Semi-Annual
End of Period Coupon Interest Interest Expense Amortization Debt Balance
0
1
2
3
4
5
6

 

 

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Fixed Income Mathematics Copyright © 2025 by Kenneth Bigel is licensed under a Creative Commons Attribution 4.0 International License, except where otherwise noted.