What are income bonds and indexed bonds?

Q: What factors affect the market rates for bonds?

A: In general, the supply of and demand for bonds affect market rates. The market rate for particular…

Q: What is the cost of a long-term investment in bonds?

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

Q: Who Issues Bonds?

A: A bond is a fixed income instrument. The bond holders are referred to as the debt holders or…

Q: Why consider bonds?

A: A bond can be described as the security or asset which provides secure income to the investor…

Q: What are the difference between debt and equity and explain how the bonds market operates.

A: Debt are instruments which are used to fund a company’s requirement. These instruments include bonds…

Q: Define the term trading debt investments.

A: Investment is an asset or an item purchased today in the hope that it will generate income in the…

Q: What are Bond prices and interest rates? And what is the relationship between them?

A: Bond is a debt instrument which provides regular periodic interest income to an investor. Generally,…

Q: What role do interest rates have in the value of bonds? What are the fundamental assumptions that go…

A: Introduction: Bonds are a kind of debt owed by the corporation that must be paid back. Coupon…

Q: How do we calculate the issue price of bonds? Is it equal to the present value of the principal?…

A:

Q: What is the carrying amount of a bond?

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

Q: How are bonds reported when classified as trading securities?

A: Trading securities are those securities which are purchased or sold for trading purpose i.e. to make…

Q: How is the price of a bond (or bond issuance) determined?

A: solution concept coupon rate of bond               The coupon rate of the bond is the stated…

Q: What is the meaning of contemporary bonds

A: If enough funds are not available with the firm, in that case it can have funds from outside. These…

Q: What are some differences among the following types of securities:debt, equity, and derivatives?

A: Securities are the financial instruments that can be traded in the market for financial…

Q: When does a discount on bonds payable occur?

A: Bonds Payable: Bonds payable are referred to long-term debts of the business, issued to various…

Q: What loss should Mirada record on the redemption of bonds?

A: Bonds are the financial instruments which shows the amount of ownership of debt in a business…

Q: What is the difference between stocks and bonds?

A: Particulars Stock Bond Type Equity Debt Ownership Ownership of the company is vested in stocks…

Q: What is a discount bond? A premium bond?

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

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: Why is it necessary to amortize the discount and premium on bond issues?

A: Introduction:   Bonds may be sold at a discount, at a premium, or at face value.

Q: how to differentiate between:  premium bonds discounted bonds bonds at par?

A: Premium Bonds: A premium bond is a bond that trades in the secondary market at a price higher than…

Q: Why discount and premium on issue of bonds is amortized?

A: Bonds are intangible assets, the amortization is similar to depreciation, it means systematically…

Q: Define the term debt securities.

A: Debt security refers to a debt instrument, such as a government bond, corporate bond, certificate of…

Q: What is general obligation bonds?

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

Q: How are bonds and notes the same? How do they differ?

A:

Q: What variables influence bond market rates

A: This question deals with the variables influence bond market rates

Q: what are treasury-indexed bonds?

A: Treasury Indexed Bonds are medium to long term securities for which the security's capital worth is…

Q: What are junk bonds?

A: Answer: A junk bond is a high risk and high yield bond often considered as unsecured bond that is…

Q: ences the bond market's interest rates

A: Step 1 Borrowing profits are strongly influenced by monetary policy—in particular, the interest rate…

Q: Summarize some specific bond terms?

A: A bond is nothing but a financial instrument that a company issues for raising capital. It is…

Q: How does accrued interest on a bond affect the purchase price?

A: Interest on bond is normally paid semi annually. When a bond is transferred in between these…

Q: What is income bond?

A: A financial instrument with a fixed cost that helps a company to raise funds for business operations…

Q: Which costs are included in bond issuance costs? How are they recorded?

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

Q: What is premium on bonds payable?

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

Q: What are the Pro's and con's of bonds?

A: The bonds are one of the most liquid and active financial instruments in the world. Bonds are…

Q: What is the difference between annuities and corporate bonds?

A: An annuity is a lump sum or a series of payments paid to someone on a periodic basis. In other…

Q: Explain the main difference between bond and common stock?

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

Q: What are redeemable and irredeemable bonds? Explain in single sentence please

A: Redeemable bonds are the bonds which are redeemed after fixed no. of years.

Q: Are bonds considered as fixed income securities?

A: Bonds are a type of loan taken by the borrower that promises to pay a certain sum as an interest to…

Q: What are the major advantages of using issuing bonds?

A: Bond is one of sources for the company to raise the funds. Bonds can be issued at par or at premium…

Q: What are the methods of determining interest on bonds?

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