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FAR CPA > Chapter 5 Long-term liabilites and bonds payable > Flashcards

Chapter 5 Long-term liabilites and bonds payable Flashcards

1
Q

How do you determine a price of a bond?

A

The present value of the principal is added to the present value of all interest payments, using the market interest rate.

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FAR CPA (31 decks)

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