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What are bonds and how they are calculated

Problem:

What are bonds? How is the value of a bond calculated? What is the yield to maturity (YTM), and how is it used in bond valuation? Compare the Eurobond to US government bonds. Discuss how they are similar and how they differ. What are common stocks? How do common stocks differ from preferred stocks? How is the value of a common stock calculated?

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Finance Basics: What are bonds and how they are calculated

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Finance Basics: What are bonds and how they are calculated

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