Obligations of bonds-characteristics of corporation

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Describe the two major obligations incurred by a company when bonds are issued.

Magda and Helga are discussing how the market price of a bond is determined. Magda believes that the market price of a bond is solely a function of the amount of the principal payment at the end of the term of a bond. Is she right? Discuss.

A student asks your help in understanding some characteristics of a corporation. Explain each of these.

Corporation allows the issuance of a maximum of 100,000 shares of common stock. During its first 2 years of operation, Clio sold 60,000 shares to shareholders and reacquired 4,000 of these shares. After these transactions, how many shares are authorized, issued, and outstanding?

Reference no: EM1364820

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