The carrying value of a bond refers to its face value, plus any unamortized premiums or minus any unamortized discounts. We can quickly calculate a bond's carrying value with only a few pieces of ...

When investors purchase bonds, they do so primarily to generate income. The expected annual rate of return is called the current yield, and it is a function of the current price and the amount of ...

Bond prices move up and down constantly, and it's common for bond investors to face situations where they have to pay more than the face value of a high-interest bond in order to persuade the current ...

Many investors think that because bonds pay a set amount of interest, they are risk-free investments. While it's true that bonds tend to be less volatile than stocks, there are still several risk ...

One key aspect of any bond investment is its current yield. When a bond is brand-new, figuring out the bond yield is relatively simple, because in most cases, bonds are issued at prices that are close ...

Bonds offer predictable cash flows and have fixed repayment dates, differing from stocks. Bond gains or losses are calculated by subtracting the purchase price from the redemption proceeds.