How does the market determine the fair value of a bond, Financial Management

Assignment Help:

How does the market determine the fair value of a bond?

The fair value of a bond is a present value of the bond's coupon interest payments plus the present value of the face value payment at maturity, discounted at the market's required rate of return for the bond in question. This text is use to solve for the fair (present) value of a bond.

Related Discussions:- How does the market determine the fair value of a bond

Define the meaning of objective - financial management, Define the meaning ...

Define the meaning of objective - financial management The term objectives offers a normative framework. That is the focus in financial literature is on what a firm must try to

Exchange of physicals, Exchange of Physicals: A trader can also complet...

Exchange of Physicals: A trader can also complete the futures contract by engaging in exchange of physicals. In this method, the parties agree to exchange cash and the commodit

Cost of debt, Cost of Debt (k ) : This describes the rate of interest paya...

Cost of Debt (k ) : This describes the rate of interest payable on debt. The cost of debt funds may be calculated when the debt is redeemable or irredeemable. therefore, when deb

Caselet, Suggestion regarding credit limit. should it be approved or not, w...

Suggestion regarding credit limit. should it be approved or not, what should be the amount of credit limit that electronics give to booth plastics

Role of financial services, causes for financial innovation

causes for financial innovation

Negotiating and closing transaction, Negotiating and Closing Transaction: ...

Negotiating and Closing Transaction: A diverse set of skills and very thorough preparation is required for negotiating and closing a divestiture transaction. Facts and informat

Ledgers, Ledgers: Ledgers record all the entries into the Cash Books. T...

Ledgers: Ledgers record all the entries into the Cash Books. They use the concept of 'double entry' bookkeeping where every ledger entry must be accompanied by another ledger e

Blade inc case study, what are the advantages blades could gain from import...

what are the advantages blades could gain from importing or exporting to a foreign country such azs thailand?

Operating cyle, discuss the applicabilty of the operating cycle in a vegeta...

discuss the applicabilty of the operating cycle in a vegetable growing business

What is planning, What is Planning Internal auditors must plan the audi...

What is Planning Internal auditors must plan the audit work so as to perform the audit in an effective manner.There must be sufficient audit programmes in existence which set o

Write Your Message!

Name

Email id

Message

Verfication Code

User Account

All Pages