Amortization of discount on Bonds Payable
(Redirected from Amortization of premium on Bonds Payable)
Amortization of discount on Bonds Payable (amortization of premium on Bonds Payable) is writing off the bond premium or discount as a decrease or increase to interest expense for each interest period.
Definitions
According to College Accounting: A Practical Approach by Slater (13th edition),
- Amortization of discount on Bonds Payable (amortization of premium on Bonds Payable). Writing off the bond premium or discount as a decrease or increase to interest expense for each interest period.
Related concepts
- Accounting (alternatively known as accountancy) is management of financial data, information, and knowledge about financial transactions of legal entities. Accountancy tends to include bookkeeping and, depending on a particilar enterprise, may also include quatitative analysis of financial data in the bookkeeping system and/or business intelligence.