Difference between bond retirements and bond refundings


Response to the following questions:

1. How is the amount of proceeds from a bond issue determined once the market (yield) rate of interest is specified?

2. What is a call provision? Why do companies often include call provisions on bond issues?

3. Distinguish between bond retirements and bond refundings .

If possible, please give examples to better understand your response.

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Financial Accounting: Difference between bond retirements and bond refundings
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