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Generally, an interest rate or an interest rate index is used as a reference rate for However, through financial engineering, issuers have been able to construct floaters with any reference rate. For example, coupon can be indexed to movements in foreign exchange rates, the price of a commodity (for example, wheat or rice), the return on an equity index (for example, the Sensex or Nifty) etc.
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The so-called "cash flow" (net income plus depreciation) is a flow of cash, but is it a flow to the shareholders or to the company? Suppose that net income plus depreciation is
formula and explanation for Gordon''s dividend capitalization method
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Is the net income of a year the money the company made that particular year or is it a number whose significance is quite doubtful? The net income of a year is not money that a
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