Interview Q - How bond coupon affects financial statement
Interviewing for a credit desk at BB I was asked how this situation affects the financial statements:
A company refinances a 3% coupon bond and issues a 2% coupon - same maturity and no net change in liabilities.
How does this effect the financial statements?
Does it have to do with the amortization of the bond's payable?
Thanks!
Dolorem expedita et optio pariatur. Aut cupiditate nemo facilis delectus et. Fuga sed ut omnis illum aut nihil voluptas.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...