Question for Jeff on FAR Audio – Bonds & Debt restructure part II

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  • February 10, 2014 at 5:53 pm #183564
    Anonymous
    Inactive

    In the example at 7:30, don’t you have to add the unamortized discount to the carrying amount to get to the new carrying value instead of the amortized discount ($31). I might be wrong but am struggling with this.

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  • February 10, 2014 at 6:40 pm #510871
    jeff
    Keymaster

    The Unamortized Discount and the Carrying Amount add up to the Face.

    The Carrying amount increases by the amortized discount each time.

    Jeff Elliott, CPA (KS) | Another71 | NINJA CPA | NINJA CMA | NINJA CPE

    February 10, 2014 at 6:40 pm #510912
    jeff
    Keymaster

    The Unamortized Discount and the Carrying Amount add up to the Face.

    The Carrying amount increases by the amortized discount each time.

    Jeff Elliott, CPA (KS) | Another71 | NINJA CPA | NINJA CMA | NINJA CPE

    February 10, 2014 at 7:13 pm #510873
    Anonymous
    Inactive

    Thanks. Makes sense now. We add the amortized discount to get to the new carrying value..

    February 10, 2014 at 7:13 pm #510914
    Anonymous
    Inactive

    Thanks. Makes sense now. We add the amortized discount to get to the new carrying value..

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