Cash flow generating asset

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A bond is a long termpromissory notewhich promises to pay the holder regular cash flows and at expiration the full face value on the face of the bond.From your other classes you would have been told that bonds are long term liabilities which attract a certain interest rates annually. Here we are taking this further and suggesting that the bond, a long term financial instrument, is an asses and can be valued like any otherlong term cash flowgenerating asset. Would you agree or disagree? Explain fully and remember to describe concepts as you use them including those underlined in the statement above

Reference no: EM131401565

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