What Is the Carrying Value of a Bond?

By Lyle Daly – Updated Apr 3, 2025 at 11:33 AM EST

Key Points

Carrying value equals bond face value plus unamortized premiums or minus discounts.
Calculate it using face, current term, and premium or discount per year.
Investors use carrying value to assess bond's book vs. market value for decisions.

The carrying value of a bond is the face value plus any unamortized premiums or minus any unamortized discounts. It’s fairly quick and easy to calculate. Doing so can help you determine how the bond is recorded on a company's financial statements. Investors can also look at the carrying value of a company’s bonds to accurately determine its debt obligations.

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Balance sheet with a fountain pen and glasses lying on top. — Image source: Getty Images.

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About the Author

Lyle Daly is a contributing Motley Fool stock market analyst covering information technology and cryptocurrency. Lyle has been a contributor at the financial services company since 2018. His work has been featured on USA Today, Yahoo Finance, MSN, Fox Business, and Nasdaq. Before joining The Motley Fool, he wrote for financial brands including Intuit.

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