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Explain the term StakeHolders
The range of stakeholders may comprise directors/managers, lenders, shareholders, employees suppliers and customers. These groups are probable to share in the wealth and risk generated by a company in different ways and thus conflicts of interest are likely to exist. Conflicts as well exist not just between groups but within stakeholder groups. This might be for the reason that sub groups exist example preference shareholders and equity shareholders. Otherwise it might be that individuals have different preferences for example return and risk, short term and long term returns within a group. Excellent corporate governance is partly about the resolution of such conflicts.
In a floating rate security, the coupon rate changes periodically as per the reference rate. The yield to maturity of floating rate securities cannot be calculated as
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Q. What is Lending System? Under the note lending system, the borrower takes a loan, usually of 90 days Duration, against a promissory note. The loan may be renewed or retired
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