• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
Free ACCA & CIMA online courses from OpenTuition

Free ACCA & CIMA online courses from OpenTuition

Free Notes, Lectures, Tests and Forums for ACCA and CIMA exams

  • ACCA
  • CIMA
  • FIA
  • OBU
  • Books
  • Forums
  • Ask AI
  • Search
  • Register
  • Login
  • ACCA Forums
  • Ask ACCA Tutor
  • CIMA Forums
  • Ask CIMA Tutor
  • FIA
  • OBU
  • Buy/Sell Books
  • All Forums
  • Latest Topics

20% off ACCA & CIMA Books

OpenTuition recommends the new interactive BPP books for September 2025 exams.
Get your discount code >>

Financial Instruments

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FR Exams › Financial Instruments

  • This topic has 2 replies, 2 voices, and was last updated 6 years ago by yashgupta04.
Viewing 3 posts - 1 through 3 (of 3 total)
  • Author
    Posts
  • February 28, 2019 at 5:13 pm #506870
    yashgupta04
    Participant
    • Topics: 7
    • Replies: 8
    • ☆

    Can you please tell me what is difference b/w effective interest rate and coupon rate?

    February 28, 2019 at 8:28 pm #506896
    P2-D2
    Keymaster
    • Topics: 4
    • Replies: 7163
    • ☆☆☆☆☆

    The coupon rate is the legally binding amount of interest that is paid based on the coupon value of the instrument.

    The effective rate is the rate that is derived by accountants to take into consideration the substance of the interest rate implicit in the instrument, taking account of the coupon interest plus and redemption premium.

    March 4, 2019 at 3:59 pm #507451
    yashgupta04
    Participant
    • Topics: 7
    • Replies: 8
    • ☆

    Thanks for the answer.

  • Author
    Posts
Viewing 3 posts - 1 through 3 (of 3 total)
  • The topic ‘Financial Instruments’ is closed to new replies.

Primary Sidebar

Donate
If you have benefited from our materials, please donate

ACCA News:

ACCA My Exam Performance for non-variant

Applied Skills exams is available NOW

ACCA Options:  “Read the Mind of the Marker” articles

Subscribe to ACCA’s Student Accountant Direct

ACCA CBE 2025 Exams

How was your exam, and what was the exam result?

BT CBE exam was.. | MA CBE exam was..
FA CBE exam was.. | LW CBE exam was..

Donate

If you have benefited from OpenTuition please donate.

PQ Magazine

Latest Comments

  • John Moffat on Discounted Cash Flow Further Aspects, Replacement – ACCA Financial Management (FM)
  • o1lim on Discounted Cash Flow Further Aspects, Replacement – ACCA Financial Management (FM)
  • julio99 on Impairments – Impairment (CGU) – ACCA Financial Reporting (FR)
  • effy.sithole@gmail.com on EPS – diluted EPS Example – ACCA Financial Reporting (FR)
  • Ken Garrett on The Finance Function in the Digital Age – CIMA E1

Copyright © 2025 · Support · Contact · Advertising · OpenLicense · About · Sitemap · Comments · Log in