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Bond Premium
The additional amount paid over the face value of a bond, reflecting market interest rates lower than the bond's coupon rate.
Liability
Financial obligations or debts owed by a company to external parties, such as loans, accounts payable, or mortgages.
Annual Amortization
The process of spreading out a loan into a series of fixed payments over a period, with each payment covering part of the principal amount and interest.
Bond Discount
The situation in which a bond is sold for less than its par (face) value, benefiting investors with higher interest rates than current market rates.
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