Accretion of discount

accretion of discount
accounting process for adjusting the book value of a bond purchased at a discount (the Original Issue Discount ) to the par value at maturity.

ACCRETION OF DISCOUNT - A straight-line accumulation of capital gains on discount bonds in anticipation...
ACCRUAL - the recognition of revenue when earned or expenses when incurred regardless of when cash is r...

ACCRETION OF DISCOUNT - An accounting process by which the book value of a security purchased at a discount from par is increased during the security's holding period.

Accretion of Discount
The increase in the value of a discounted instrument as time passes and it approaches maturity.

Accretion of discount
Federal Reserve Bank of San Francisco
Definition: A straight-line accumulation of capital gains on discount bonds in anticipation of being paid par at maturity.

Accretion of discount
The opening present value multiplied by the interest rate. This term arises because the stream of cash receipts are one period closer at the end of the period than it was at the beginning.
Accrual ...

See also: Accretion, Expense, Discount Bond, Mergers, Acquisitions