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Amortization of Bonds
The gradual reduction of the discount on bonds payable or the premium on bonds receivable over the life of the bonds.
Discount Amortization
The process of gradually writing off the discount on bonds payable over the life of the bonds.
Bond Interest
The periodic payment made by bond issuers to bondholders, usually expressed as a percentage of the face value of the bond.
Adjusting Entry
An accounting entry made at the end of an accounting period to allocate income and expenditure to the period in which they actually occurred.
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