ZERO COUPON BONDS Definition

Bookmark and Share

ZERO COUPON BONDS are bonds priced at a large discount from face value. The bonds mature at full face value so the difference between the original issue price and the face value represents interest income. The issuer of the zero coupon bond saves on cash flow since the interest isnt paid out until the end of the bond holding period.

Learn new Accounting Terms

ACCOUNT GROUP, in accounting, is a designation of a group of accounts of like type (for example: accounts receivable and fixed assets).

CHIEF ACCOUNTING OFFICER see CFO.

Suggest a Term

Enter Search Term

Enter a term, then click the entry you would like to view.