--%>
Assignment Help - homework help

Describe the duty of bondholders in a bond

Describe the duty of bondholders in a bond?

E

Expert

Verified

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.

   Related Questions in Business Economics

  • Q : Consumer and producer surplus in the

    In perfectly competitive market, the market demand and market supply curves are provided by Qd = 1000 −10Pd and Qd = 30Ps. Assume that the government gives a subsidy of $20 per unit to each and every seller in the mark

    		•
  • Q : Explanation of theory of pricing for

    The theory of pricing for particular goods explained in Adam Smith’s Wealth of Nations is most consistent along with: (1) mercantilist doctrine. (2) Richard Cantillon’s distinction between “value in

    		•
  • Q : Define the Legal forms of businesses

    Define the Legal forms of businesses?

    		•
  • Q : Problem on Infrastructure The state

    The state legislature has voted to develop a grant-in-aid policy to try and induce local communities to devote more resources to improving their infrastructure. Town O = Has an operating budget of $2 million; currently spends a tot

    		•
  • Q : Distinguish between allocative

    Distinguish between allocative efficiency and productive efficiency. Give an illustration of achieving productive, but not allocative, efficiency?

    		•
  • Q : Elucidate the various trade which

    Elucidate the various trade which enacted by governments?

    		•
  • Q : Our junior high school serves a

    Comment on the following statement from a newspaper article:  “Our junior high school serves a splendid hot meal for $1 without costing the taxpayers anything, thanks in part to a government subsidy.”

    		•
  • Q : Examples and Applications of

    What are the Examples and Applications of International Trade?

    		•
  • Q : Describe financial leverage and low

    Describe briefly high financial leverage, low operating leverage?

    		•
  • Q : Facts serve to sort out good and bad

    Explain the statement: “Facts serve to sort out good and bad hypotheses.”?

    		•