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hello and welcome to the session in which we would look at bonds issued or sold between interest payments or interest date what is the main idea well interest is paid periodically on a specified day to the holder so what does that mean so lets assume the interest is paid on july 1st so whoever holds the bond july 1st will get the interest payment what happens if someone carries the bond from january till march then in march on march 1st they sold the bond so john sold the bond to poll well john will give the bounty poll as of march 1st and paul will receive the full amount why because as far as the corporation is concerned whoever holds the bond on july 1st will go will get the full interest whats going to happen is this paul will have to pay john any amount of interest accrued from january till march so the buyer should pay the seller the interest accrued from the last interest payment were assuming the first interest payment was january till that date so the purchaser will receive
