All categories

2 years ago

To be effective issuing and investing in bonds, knowledge of their terminology, characteristics, and features is essential.

Business

1 answer:

abruzzese [7]2 years ago

5 0

Answer:

Par value
Default
Indenture

Explanation:

A bond's par value refers to its face value and the amount of money that the issuing entity borrows and promises to repay on the maturity date.

A bond issuer is said to be in default if it does not pay the interest or the principal in accordance with the terms of the indenture agreement or if it violates or more of the issue's restrictive covenants.

The contract that describes the terms of a borrowing arrangement between a firm that sells a bond Issue and the investors who purchase the bonds is called indenture.

You might be interested in

A dentist shares an office building with a radio station. The electrical current from the dentist's drill causes static in the r

nydimaria [60]

Answer:

a. Would it be economically efficient for the dentist to buy and put up a shield? Why or why not? By how much would total surplus change?

No, it is not economically efficient for the dentist to buy the shield.

b. Would it be economically efficient for the radio station to buy and put up a shield? Why or why not? By how much would total surplus change?

No, it is not economically efficient for the radio to buy the shield.

c. Would it be economically efficient for the dentist to buy a new drill? Why or why not? By how much would total surplus change?

No, it is not economically efficient for the dentist to buy the drill.

d. Would it be efficient for the radio station to buy the dentist a new drill? Why or why not? By how much would total surplus change?

Yes, it is economically efficient for the radio to buy the dentist a new drill. The Coase Theorem is an economic theory that states that economic conflicts must be solved regardless of who had the initial rights of whatever is on dispute. In this case, the dentist is causing harm to the radio, but he is doing OK. So the radio has a problem, not the dentist. The radio needs to solve its problem, so they should buy the dentist a new drill.

The economic surplus = $10,000 - $6,000 = $4,000, that means that the radio will be $4,000 better.

6 0

3 years ago

Which decision-making model would you use when your goals are unclear, there is time pressure, and you have experience with the

vaieri [72.5K]

Answer:

Intuition Decision Making model.

Explanation:

Intuition Decision Making model can be described as the process by which knowledge acquired through associated learning and stored in long-term memory is accessed unconsciously to form the basis of a judgment or decision.

When speed is essential to a successful outcome, intuition decision making model should be used because there will not be need for analytics, facts, and a step-by-step process to come to a decision.

4 0

3 years ago

Economic value added:a. is a dollar amount rather than a percentage.b. is both a dollar amount rather than a percentage and uses

Fantom [35]

Answer:

The correct answer is letter "B": is both a dollar amount rather than a percentage and uses a firm's weighted-average cost of capital.

Explanation:

The Economic Value Added metric helps the shareholders of a business to determine how their capital is performing against other potential investments using the weighted-average cost of capital for that purpose. It is also a useful calculation for companies to decide on the most economically valuable project to be pursued.

The economic value added is calculated by subtracting the opportunity cost of capital from the earnings of the company. The result is given in dollar amounts.

7 0

3 years ago

Suppose Yamahonda, a Japanese-owned motorcycle manufacturer, builds a production plant in Alabama. This is an example of foreign

Alika [10]

Answer:

The statement is true, as it is an example of foreign direct investment.

Explanation:

Foreign direct investment is the direct investment by individuals or legal persons in production or business operations abroad. In this context, investments include both acquisition of foreign operations and expansion of own operations.

Foreign direct investment does not include the purchase of either shares or bonds per se. More specifically, the IMF has restricted direct investment on acquisitions to cases where the foreign investor owns 10% or more of the shares that give administrative rights in the business. Investment funds that can be classified as foreign direct investments therefore include equity deposits, reinvestments of dividends from the business, as well as the allocation of short-term and long-term loans between parent companies and subsidiaries.

3 0

2 years ago

Whenever Don calls on potential pest control customers, he emphasizes the fact that, unlike the national franchise competitors,

Amiraneli [1.4K]

Answer:

positioning

Explanation:

Based on the information provided within the question it can be said that in this scenario Don is positioning his business relative to his competition. In the context of business, positioning refers to the actions taken by a business in order to for the business/brand to occupy a specific place in the minds of their customers, as well as setting them apart from the competition, so that those customers choose them instead of the competition.

7 0

3 years ago