How will investors maximize the returns of corporatebonds or redeem their corporate bonds?

Q: how the zero-coupon rate bond provides return to the investor and gives the advantages to the…

A: A zero coupon bond is a fixed income security which is sold at a deep discount to its face value.…

Q: How does our tax system influence the use of debt financing by corporations?

A: Answer: If a company uses debt financing, it will pay interest while if it uses stock, dividends are…

Q: What is corporate governance? How does corporate governance affect the returns generated for…

A: Corporate governance is an importance concept in corporate finance.

Q: What is Debt financing? What are the major sources of corporate financing?

A: Corporate finance is the domain of finance concerned with how companies cope with financing sources,…

Q: How is an investment banker compensated for promoting and facilitating the sale of a company’s…

A: Investment banker (IB) is the special facility given by the banks or separate institutes which…

Q: Compare raising cash funds in the capital market (selling new shares of stock) versus the bond…

A: Cash can be raised by the firm for multiple purpose such as expansion project, investment in to an…

Q: What is  Corporate  Finance? What are the types of Corporate finance?

A: Corporate finance is an important concept in financial management. It has been further explained in…

Q: The investment banks collect money from public, because O a. Business sells products. O b. Business…

A: Investment bank is referred as the bridge between large enterprises and investors. It aims to…

Q: What is your understanding on private equity, is it financial institution? Explain. If you are a…

A: Private equity is a type of alternative investment that involves money that isn't traded on a public…

Q: primary way a corporation can raise money through Equity financing

A: Primary market is market where money is raised via public by issue of stock.

Q: types of Corporate finance? What are the elements of Corporate

A: Step 1 Business finances play an important role in all businesses. Regardless of the size or type of…

Q: dividend reinvestment plan

A: Benefits to Investors- *Investors accumulate more shares without paying any commission or brokerages…

Q: Discuss and explain why a company may choose to raise capital by issuing bonds instead of issuing…

A: Capital is the source where the company raised money to run the business. There are two ways: Bonds…

Q: Why is corporate finance important to stakeholders?

A: Corporate finance generally deals with the sources of funding i.e the entity's capital structure. It…

Q: How does the financial market facilitate corporate finance and investment management needed

A: Financial market is the market in which financial instruments are sold and brought by the…

Q: One of the primary reasons for investing in debt securities includes a. Deducting interest payments…

A: One of the primary reasons for investing in debt securities includes Earning interest revenue.…

Q: What are the different sources of risk for an investor who holds a corporate bond, what are…

A: Both  bonds and common stocks are financial securities and hence the holders of these securities…

Q: when attempting to raise cash, a company may find it more advantageous to issue bonds rather than…

A: Bonds are the financial liability issued by the Company to raise capital which have a tax advantage…

Q: it better to finance a company thru debt or thru equity? Why? What are the downside and upside to…

A: A business can raise funds predominantly either by  Issuing Equity, or Borrowings Loans, Issuing…

Q: Explain how securities markets provide a link between the corporation and investors.

A: Investment means engaging the funds to generate income for the future. Those who invest their funds…

Q: financial leverage affect stockholders' control position? d) How does the tax structure influence a…

A: How does the tax structure influence a firm's willingness to finance with debt? It allows a company…

Q: Which of the following can be described as involving direct finance? O A. People buy shares in a…

A: Borrowers borrow funds directly from the financial market without the need of a third-party service…

Q: What obligation does an entrepreneur (owner) have to investors that purchase bonds to finance the…

A: A bond is basically an interest-bearing loan instrument that is issued by the companies in order to…

Q: The application of financial theory to new venturing has uniquely defining characteristics that…

A: Discussing regarding the application of financial theory.

Q: Discuss the various timing risks a corporate CFO risks when raising funds via bonds or common stock…

A: Bond is referred as the fixed income instrument, which helps in representing the loans that are made…

Q: What are treasury shares? Why do corporations have treasury shares.

A: Shares:- Shares shows the ownership of equity in a firm, that are purchased by an investor who…

Q: Discuss the reason(s) behind the conflict of interest between corporate stockholders and…

A: Corporate Stockholders: A stockholder is the owner of the shares purchased of a company. There are…

Q: Explain how the zero-coupon rate bond provides returns to the investor and elaborate on the…

A: Zero coupon bond are bond which doesn't provide any coupon during life of bond but they are issued…

Q: What is Financial Modeling in Corporate Finance?

A: Corporate Finance talks about financial items of a corporation. It majorly discuss about the sources…

Q: Why would an individual invest in bonds rather than stock

A: A bond is a fixed income instrument that depicts a loan made by the issuer to the borrower. These…

Q: What roles are played by an investment bank and its brokeragefirm during an IPO?

A: Investment banks provide various types of services to its clients like underwriting services,…

Q: Evaluate whether using the cash raised by the rights issue to buy back bonds is likely to be…

A: The answer for the question on using the cash raised by the rights issue to buy back bonds is…

Q: Is there a type of stock preferable over the other? Should a corporation also utilize borrowing if…

A: Equity Stock represents the equity shares of a company. Equity shares are the part of company owned…

Q: Explain how the zero-coupon rate bond provides return to the investor and elaborate on the…

A: Zero-coupon bonds are also known as deep discount bonds. It is a debt instrument that is sold at a…

Q: What is the relative tax advantage of debt when corporate and personal taxes are considered?

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

Q: What is the Role of Corporate Finance? What are the Functions of Corporate Finance?

A: Corporate Finance: Specifically, corporate finance is the field of finance that deals with sources…

Q: How might astute bondholders react if stockholders take on risky projects?

A: Introduction: Capital budgeting is an investment criterion or decision making mechanism for…