Write an article based on this "Determine the terms of the bond in question. Calculate the amortized portion of the discount or premium. Calculate the carrying value of a bond sold at premium. Calculate the carrying value of a bond sold at a discount using the same method."

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Know whether the bond sold at par, at a premium, or at a discount. Determine the time elapsed since the bond's issuance. To calculate the carrying value of a bond, you will need to know how much of the premium or discount has been amortized, which will depend on the time elapsed since the issue date. Most premiums or discounts will be amortized on a straight-line basis, meaning the same amount is amortized each reporting period.  For example, suppose a 10-year bond was issued two years ago. Two years of amortization have been recorded, and eight years of amortization remain. You need to know the remaining amount of unamortized discount or premium to calculate the carrying value. For example, suppose a company issued a 10 year bond with an $80 premium two years ago. Each year, $8 of amortization is recorded ($80 / 10 years = $8 per year). If two years have passed, then $16 of amortization has been recorded ($8 x 2 years = $16) and $64 is unamortized ($8 x 8 years = $64). Suppose a company sold $1,000 10%, 10 year bonds for $1,080 and 2 years have passed since the issue date.  Calculate the premium by subtracting the face value from the sale price with the equation $1,000 - $1,080 = $80.  The $80 premium will be amortized over the term of the bond at $8 per period.  Since two years have passed, two amortization entries have been recorded.  Eight amortization entries remain.  Calculate the remaining amortization with the equation $8 x 8 = $64.  The carrying value equals the face value of the bond plus the remaining premium to be amortized.  Use the equation $1,000 + $64 = $1,064. Subtract the unamortized discount from the face value.  For example, suppose a company sold a $1,000, 10%, 10 year bond for $920, or an $80 discount and two years have passed since the bond issuance.  The annual amortization of the discount is $8.  Two amortization entries have been recorded.  Eight remain, for a value of $8 x 8 = $64.  The carrying value of the bond is $1,000 - $64 = $936.