Cutting account surplus and discount bonds, the issuer bonds can be cut 2 method, as well as the investors to buy bonds, namely
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1.Straight line method (Straight - line Method) is a way of eliminated excess or discount asset rate every period. As a result to account!
interest paid off transferred to the profit and loss account balance rate period
2.Compound interest method or V real interest rates (Compound - interest or Effective - interest Method) is a way of eliminated the over - or discount bonds to reduce or increase the interest account pay.Debit this method will need to know the real interest rate in the market. Then use this rate calculate number of interest to cut pay. The real interest rate factor along with price account of bonds, on the first day period.Is used to cut the number of accounting surplus or discount bonds
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