Describe the duty of bondholders in a bond
Describe the duty of bondholders in a bond?
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1. Bondholder is only a lender not an owner.
2. Because of certain factors usually Bonds are less risky.
a. Before stockholder dividends are intended bondholders can take interest payments.
b. Dividends depend on profits whereby interest is definite as long as company is vigorous.
What is the basic principle of comparative advantage?
Suppositions underpinning simple production possibilities frontier models don’t comprise a need that: (i) Net resources are fixed. (ii) All resources are efficiently employed. (iii) Technology is steady. (iv) Resource owners are paid according t
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What happens to the demand curve when each of these determinants changes?
Explain the slope of a straight line is the ratio of the vertical change to horizontal change between any two points on the line?
Assume that you bought a ton of gold in Santiago, and Chile for $450 per ounce and immediately sold all of this in Antwerp, Belgium for $480 per ounce. Therefore economists would categorize your movement as: (i) arbitrage. (ii) scalping. (iii) screening. (iv) speculat
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Illustrate Market Equilibrium of Supply and Demand?
Describe three ways to finance corporate activity. Make a case that stocks are more risky for the financial investor than are bonds?
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