Municipal securities, Financial Management

Assignment Help:

Municipal Securities are debt securities issued by a State, Municipality or a County in order to finance its capital expenditures. These securities are exempted from Federal taxes, State taxes and Local taxes. State taxes and Local taxes are exempted where the investor resides in the state in which such security is issued. However, capital gains on these securities are still taxable. Unlike treasury securities, municipal securities have credit risk associated with them.

Basically, Municipal Securities are of two types:

  1. Tax-Backed debt obligations, and
  2. Revenue bonds.

Related Discussions:- Municipal securities

What are the limitations of trade payable day''s ratio, What are the Limita...

What are the Limitations oftrade payable day's ratio? Year-end trade payables may not be representative of the year. Credit purchases are VAT exclusive in the income sta

Advantages and disadvantages of pay back period, Advantages: It is ...

Advantages: It is easy to calculate and catch. With the help of this technique, projects can be ranked in terms of their economic merits without much of complication.

Mortgages, A mortgage may be defined as a pledge of property ...

A mortgage may be defined as a pledge of property to secure a debt payment; in this context, we will use the term property to mean real estate. If the

Put provision, An issue with a put provision included in the ag...

An issue with a put provision included in the agreement grants the bondholder the right to sell bonds back to the issuer at a pre-specified rate

Determine the term- component cost and composite cost, Determine the term- ...

Determine the term- Component Cost and Composite Cost A company may contemplate to raise desired amount of funds by different sources comprising preferred stock, debentures and

Cost of capital, Provide an argument for including or not current liabiliti...

Provide an argument for including or not current liabilities in the cost of capital calculation.

Traditional capital budgeting techniques, Traditional   Capital Budgeting ...

Traditional   Capital Budgeting Techniques These techniques are usually very simple and easily catchable. But the fundamental drawback of these methods is that they don't cons

Advantages and disadvantages of accounting rate of return, Advantages of AR...

Advantages of ARR: It is simple to calculate and easy to catch. With the help of this technique, direct comparisons among proposed projected of varying lives with no bu

Evaluation of credit policy, Q. What is Evaluation of Credit Policy? Ev...

Q. What is Evaluation of Credit Policy? Evaluation of Credit Policy: - A credit policy is prepared to maintain the investment in receivables at optimum level. Receivable Turnov

Rating symbols, Rating Symbol Capacity ...

Rating Symbol Capacity for Timely Repayment Rating Symbol Capacity for Timely Repay

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