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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.
Suggestion regarding Credit limit. Should it be approved or not, what should be the amount of credit limit that electronics give to Booth Plastics.
Can some one tell me how to calculate payback period and which formula i used to calculated payback period? Explain!!!!
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