Examlex
What term is used to describe the phenomenon when voters adjust their long-term allegiance from one party to another in response to ideological changes?
Bond Issue
The process by which a company or governmental entity raises funds by selling bonds to investors, which are debt securities obligating the issuer to pay interest and repay principal at a later date.
Effective Interest Method
An accounting technique used to allocate the bond premium or discount over the life of the bond in a way that results in a constant rate of interest.
Interest Expense
Interest expense is the cost incurred by an entity for borrowed funds, typically reported on the income statement within the financing or other expenses section.
Discount Amortization
The process of gradually writing off the initial discount on a bond or loan over the life of the instrument, affecting the issuer's interest expense.
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