Explain the difference between stocks and bonds

Reference no: EM133615994

Problem: Explain the differences among payback period, net present value, and internal rate of return. Which do you think provides the best indicator of financial performance? Explain how the future value of investments changes with the interest rate and length of time invested. Explain why a capital budget is necessary. Explain the three factors that affect capital budget decisions. Explain the difference between stocks and bonds. Define cash equivalents; list some types of cash equivalents, and their importance to the finance of the organization.

Reference no: EM133615994

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