Define Callable bond.

Q: Which of the following would describe a callable bond?

A: Bonds: Bonds are the debt obligations of a business on which it requires to pay regular interest to…

Q: What is investment-grade bond?

A: Bond is a financial instrument. Issuer issues bond to raise the fund and payback the amount at the…

Q: Define duration (bond)

A: Bond duration: It is defined as the sensitive interest rate to the time of repayment of the…

Q: What is the purpose of a bond?

A: A bond is a debt instrument issued by governments and corporations to raise long-term funds. A bond…

Q: Difference between regular bond and perpetuity bond?

A: Debt markets are markets where you contribute within the institutions or trade substances by the…

Q: Describe a bond and its characteristics.

A: Bond is a long-term debt instrument. A bond may be secured or unsecured. Bonds are issued by…

Q: Define seasoned bond

A: A seasoned equity offering often termed as a secondary equity offering refers to a new equity…

Q: Define bond spread

A: Answer: The term ‘bond spreads’ or ‘spreads’ refers to the difference in the interest rate between…

Q: What is a bond spread?

A: Answer: The term ‘bond spreads’ or yield spread is the disparity in yield between debt instruments…

Q: What are debenture bonds used for?

A: Debenture bonds: Debenture is a debt instrument which are issued to raise the capital. The debenture…

Q: In what sense is a project’s IRR similar to the YTM on a bond?

A: IRR is the discount rate that forces an NPV of project equivalent to zero. Estimation of rate of…

Q: What purpose does the variety in bond features (types and characteristics

A: A bond is referred to as a fixed income instrument since bonds traditionally paid a fixed interest…

Q: Define bond rating

A: Bond-rating It is a method for estimating a bond's financial soundness which relates to a…

Q: What is the principal repayment for a bond

A: There are two components principal and interest

Q: Define Indexed bond.

A: Indexed bond can be defined as a bond in which interest payment are based on some defined price…

Q: What are callable and puttable bonds? Explain in single sentence please.

A: Callable bonds are the bonds which can be redeemed anytime at the option of the issuer before its…

Q: Define Catastrophe bond.

A: Catastrophe meaning event causing great and sudden damage example earthquake What is reason behind…

Q: What is on-the-run bond ?

A: The question is based on the concept of liquidity and issue of bond, the on-the-run bond are…

Q: Describe the characteristics of traditional bonds and contemporary bonds

A: Traditional bonds can be categorized in to two types, Secured and unsecured bonds. Bonds which have…

Q: A bond that is eligible for redemption before it is due to be paid off is _____.

A: Bonds are the debt obligations of a business on which it requires to pay regular interest to the…

Q: What is a bond payable?

A: Long-Term LiabilitiesLong-term liabilities are the obligations of the business that need not be paid…

Q: What is a serial bond?

A: Bonds: Bonds are long-term promissory notes that are issued by a company while borrowing money from…

Q: Explain Labor and Material Payment Bonds and Completion Bonds?

A: Bonds are defined as units of corporate debts which are issued by the companies & are…

Q: Explain purchasing power bond

A: Bonds: A bond, also recognized as a fixed-income security, is a debt instrument shaped for the…

Q: Define convertible bond

A: Convertible bond:  Convertible bond is the bond which can be converted into stocks or equity or cash…

Q: What are bonds classified as?

A: Issue of bonds is a source of funds of a company. They are an acknowledgement of debt taken by the…

Q: Define Yankee bonds

A: Yankee Bonds:-(Defination) Yankee Bonds are issued by Foriegn Entity like foreign bank of Financial…

Q: Define discount bond

A: Bonds: A bond, also recognized as a fixed-income security, is a debt instrument shaped for the…

Q: Explain Bonds with Detachable Warrants.

A: Hybrid Security:   It refers to a single financial instrument that holds the characteristics of…

Q: When do you release a performance guarantee/bond?

A: Bonds: Bonds are the debt obligations of a business on which it requires to pay regular interest to…

Q: Define bond

A: Bonds are an asset. Investors in bonds lend money to the government or business money for a specific…

Q: Explain payment-in-kind (PIK) bonds

A: A financial instrument that does not affect the ownership of the common shareholders or management…

Q: Explain rating (bond)

A: Bond: Bond is a kind of debt instrument typically issued by corporations, government organizations…

Q: Explain bond redemption.

A: A Bond is an instrument which guarantees fixed return to the investor. A bond involves no risk so…

Q: Explain the meaning of duration of a bond. Critically discuss the duration rules of bonds

A: Meaning: Duration is the measure of the price change with respect to change in the interest rate. In…

Q: Describe the types of bonds.

A: A bond is a debt instruments used to raise funds in order to finance different projects or for…

Q: Define a floating-rate bond and give examples

A: Floating-rate bond is a bond pays a variable interest rate.  The interest rate is depends on a…

Q: What is a registered bond?

A: Bonds are basically the corporate debt units which are generally issued by companies that are…

Q: Prepare a bond amortization schedule.

A: A bond refers to the instrument which is issued by the government to borrow money when needed. It is…

Q: Briefly explain types of serial bonds.

A: Bond is a debt security which carries a fixed interest rate. The fixed interest rate is known as…

Q: describe the characteristics and terminology of bonds payable

A: Definition of Bonds payable: Bonds are issued by Government , corporations etc.

Q: Define Original-issue discount bond.

A: Original issue discount: An original issue discount is the variation among selling price of a bond…

Q: Define Serial bonds.

A:

Q: A bond

A: Bonds are common financial instruments which have been explained in the next step.

Q: what is the bond's YTM?

A: Note: Since you have asked multiple questions, we will solve the first question for you. If you want…

Q: What purpose does the variety in bond features (typesand characteristics) serve?

A: Bond: Bonds are long-term debt issued with the defined terms and conditions. Bonds are generally…

Q: What is the accurate time for the submittal of the bond?

A: There are different instruments in which the investor can do investment. These instruments can be a…