The difference between the par-value or face-value of a bond and the price above this face value, at which the bond has been issued. Unamortized bond premiums do not include any interest that has been amortized or written off.

Also referred to as the amount between the face value and the amount the bond was sold at, minus the interest expense.

Referred to as part of the bond premium that will be amortized (written off) in the future. A bond premium is a bond that is priced higher than its face value. The amortized amount of this bond is credited as an interest expense. The bondholder amortizes the bond to figure out the value of the interest rate, minus the coupon rate.

The unamortized bond discount is the difference between the par value of a bond—its maturity value—and the proceeds from the bond's sale by the issuing company, less the portion that has already been amortized (written off in gradual increments) on the profit and loss statement.

A contra liability account that contains the amount of discount on bonds payable not yet amortized to interest expense.

When a business pays interest to holders of a bond it issued to raise money, the payment is reported as a cash outflow in the operating activities section of the cash flow statement.

An unamortized bond discount is the accounting applied to a bond sold below its face amount. When a bond's stated interest rate is lower than its market interest rate on its selling date, investors will only agree to purchase the bond at a discount from its face amount.

Discount on bonds payable decreases the value of the bonds and is subtracted from the bonds payable in the long‐term liability section of the balance sheet.

To know how much you can amortize yearly, add the unamortized bond premium to the face value. Then multiply the result by the yield to maturity, and subtract it from the actual interest paid. If in the first year, the unamortized bond premium is $80, you would multiply $1,080 by 5% to get $54.

No portion of the loan principal is ever repaid. The full loan amount is paid back at the end of the loan with one balloon payment. Unamortized debt's interest rate can be fixed or adjustable.

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The unamortized bond discount is the difference between the par value of a bond—its maturity value—and the proceeds from the bond's sale by the issuing company, less the portion that has already been amortized (written off in gradual increments) on the profit and loss statement.

A contra liability account that contains the amount of discount on bonds payable not yet amortized to interest expense.

When a business pays interest to holders of a bond it issued to raise money, the payment is reported as a cash outflow in the operating activities section of the cash flow statement.

An unamortized bond discount is the accounting applied to a bond sold below its face amount. When a bond's stated interest rate is lower than its market interest rate on its selling date, investors will only agree to purchase the bond at a discount from its face amount.

Discount on bonds payable decreases the value of the bonds and is subtracted from the bonds payable in the long‐term liability section of the balance sheet.

To know how much you can amortize yearly, add the unamortized bond premium to the face value. Then multiply the result by the yield to maturity, and subtract it from the actual interest paid. If in the first year, the unamortized bond premium is $80, you would multiply $1,080 by 5% to get $54.

No portion of the loan principal is ever repaid. The full loan amount is paid back at the end of the loan with one balloon payment. Unamortized debt's interest rate can be fixed or adjustable.

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