This video shows how to calculate the issue price of a bond that pays semiannual interest. The issue price is the sum of: (1) the present value of the face value of the bond, which is to be paid when the bond matures, and (2) the present value of the interest payments. Because the bond pays interest semiannually, the interest rate should be divided by two and the number of periods should be adjusted (e.g., if it is a 10-year bond, there would be 20 periods because interest is paid twice a year). The video provide formulas to calculate the present values and illustrates the computations using an example.—
Edspira is the creation of Michael McLaughlin, an award-winning professor who went from teenage homelessness to a PhD. Edspira’s mission is to make a high-quality business education freely available to the world.
—
SUBSCRIBE FOR A FREE 53-PAGE GUIDE TO THE FINANCIAL STATEMENTS, PLUS:
• A 23-PAGE GUIDE TO MANAGERIAL ACCOUNTING
• A 44-PAGE GUIDE TO U.S. TAXATION
• A 75-PAGE GUIDE TO FINANCIAL STATEMENT ANALYSIS
• MANY MORE FREE PDF GUIDES AND SPREADSHEETS
* [ Ссылка ]
—
SUPPORT EDSPIRA ON PATREON
*[ Ссылка ]
—
GET CERTIFIED IN FINANCIAL STATEMENT ANALYSIS, IFRS 16, AND ASSET-LIABILITY MANAGEMENT
* [ Ссылка ]
—
LISTEN TO THE SCHEME PODCAST
* Apple Podcasts: [ Ссылка ]
* Spotify: [ Ссылка ]
* Website: [ Ссылка ]
—
GET TAX TIPS ON TIKTOK
* [ Ссылка ]
—
ACCESS INDEX OF VIDEOS
* [ Ссылка ]
—
CONNECT WITH EDSPIRA
* Facebook: [ Ссылка ]
* Instagram: [ Ссылка ]
* LinkedIn: [ Ссылка ]
—
CONNECT WITH MICHAEL
* Twitter: [ Ссылка ]
* LinkedIn: [ Ссылка ]
—
ABOUT EDSPIRA AND ITS CREATOR
* [ Ссылка ]
* [ Ссылка ]
![](https://s2.save4k.ru/pic/eSH5CkVJDR8/maxresdefault.jpg)