Illustrate the zero bonds security instruments, Financial Management

Assignment Help:

Illustrate the zero bonds security instruments.

Zero coupon bonds are instruments under that a borrower promises, at the recent time, to pay one exact nominal sum (face value) to the lender at one exact future date. Into return, at the recent date the borrower obtains the bond price. Zeros are also termed as discount bonds. Obviously, with positive interest rates, there the price of a zero coupon bond should be lower than the face value.


Related Discussions:- Illustrate the zero bonds security instruments

Bond indexation, Bond indexation serves the purpose of replicating th...

Bond indexation serves the purpose of replicating the performance of a predetermined benchmark as closely as possible. These benchmarks are generally very broader

How to calculate correlation co-efficient, Q. How to calculate correlation ...

Q. How to calculate correlation co-efficient? The correlation co-efficient measures the nature and the extent of relationship between the stock market index return and the stoc

Non-callable versus non-refundable bonds, A bond is said to be curr...

A bond is said to be currently callable if the issue is not protected against early call provision. But most new bond issues, even if currently callable, us

Why do businesses spend time effort and money, Why do businesses spend time...

Why do businesses spend time, effort, and money to produce forecasts?  Explain. Businesses fail or succeed depending on how well prepared they are to deal with the situations t

Capital budgeting., definition and importance of capiyal budgeting

definition and importance of capiyal budgeting

Components of working capital, Examine the components of working capital & ...

Examine the components of working capital & also explain the concepts of working capital.

Explain the term - financial analysis, Financial analysis The purpose o...

Financial analysis The purpose of financial statements is to provide information to all the users of these accounts to assist them in their decision-making. It has to be concer

Explain about the interest payments, Explain about the Interest payments ...

Explain about the Interest payments Debenture interest is generally paid semi-annually however annual payments aren't uncommon.  Usually there are registered debentures on whic

Floor Brokers, Floor Brokers These people have the responsibility of ex...

Floor Brokers These people have the responsibility of executing the trades forwarded by the FCMs on the floor of the exchange. They can also trade for their own account. They w

Cost of capital, Q. Cost of capital? The terms of cost of capital refer...

Q. Cost of capital? The terms of cost of capital refers to the minimum rate of the return a firm must earn on its investment so that the market value of the company equity shar

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd