Bond is priced to yield 7% and sold at a discount of 16.84 in 25 Years.
100-12.84 = 83.16.
83.16/25=3.2 = the accretion
The accreted value at Year X is then
[16.84(1.07^X)]+(3.2x)=Accreted Value of a 0 Coupon
| +86 | Are you “less ambitious” for having long term goals outside of NYC | 22 | 1d | |
| +65 | Affair with my Associate… In Desperate Need for Advice | 23 | 4d | |
| +53 | How to sound more eloquent? | 25 | 2h | |
| +40 | WSO Ranking On Resume??? | 10 | 18h | |
| +34 | Interviews Are So Fake | 20 | 5h | |
| +30 | 2024 UK Election - Tories finished? | 18 | 10h | |
| +29 | Why do people listen to Jim Cramer Investing Advice? | 13 | 13h | |
| +27 | Carnivore Diet | 13 | 2d | |
| +26 | Is my boss gaslighting me? | 3 | 4d | |
| +24 | Chaotic Insane investment banker who passed away in the 90s or 2000s | 12 | 4d |
Career Resources
Get instant access to lessons taught by experienced private equity pros and bulge bracket investment bankers including financial statement modeling, DCF, M&A, LBO, Comps and Excel Modeling.
Velit sit fugiat similique. Fugit et voluptates eum dolorem. Eaque nobis aut est qui laudantium sed pariatur. Corrupti repellendus aperiam qui tenetur.
Est recusandae est repellendus voluptates. Necessitatibus quisquam qui laudantium distinctio ipsa perferendis.
Et velit repellat architecto. Laboriosam molestiae et corrupti illum ut. Nihil est quam iusto quo eaque.
Nihil nostrum aut accusamus neque incidunt dolorem officiis. Voluptate consequatur sunt quia recusandae ut est officia illo. Cum aut est nihil quae. Autem at vero explicabo fugit ipsam. Voluptatem voluptatem id earum aut dolorum repellendus. Laborum explicabo dolores nihil sunt. Inventore aut libero exercitationem sint quia totam.
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...