Explore the taxation of Original Issue Discount (OID) bonds, including the calculation of OID for zero-coupon bonds, and how the discount must be amortized over the bond's life as interest income.
Explore the concept of modified duration for different types of bonds, including zero-coupon, fixed-rate coupon, and floating-rate notes. Learn how to calculate modified duration and its significance in managing interest rate risk.
Learn how to calculate the price of a bond by understanding the bond pricing formula, discount rates, and the impact of market interest rates on bond valuation.
Explore the intricacies of zero-coupon bonds, learn how to calculate their prices, and understand their tax implications. This guide provides detailed insights into the world of zero-coupon bonds, equipping you with the knowledge needed for investment success.
Explore the intricacies of zero-coupon bonds, including their structure, tax implications, and growth calculations. Learn how these bonds are issued at a discount and mature at par value, and understand the concept of phantom income in the context of zero-coupon bonds.