The formula for simple interest is as follows ... For example, a $1,000 bond with a 6% coupon (interest rate) pays $60 per year, or $30 semiannually. If earnings were reinvested in the bond ...

Perpetual bonds have no maturity date, allowing them to pay interest indefinitely, making them appealing for long-term income. They come in different types, such as government and corporate bonds, ...