annuity
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level stream of cash flows @ regular intervals w/ a finite maturity
corporations
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businesses that are owned by many investors who buy shares of stock
is a single entity (legally a person)
taxed twice (1st @ corporate level then at the individual level)
owners are not liable
financing decisions (capital structure)
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decides how to pay for assets acquired:
-equity or debt
-long/short term debt
coupon rate
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annual interest payment, as a percentage of face value
coupon rate is NOT discount rate
bond
Give this one a try later!
Give this one a try later!
level stream of cash flows @ regular intervals w/ a finite maturity
corporations
, Give this one a try later!
businesses that are owned by many investors who buy shares of stock
is a single entity (legally a person)
taxed twice (1st @ corporate level then at the individual level)
owners are not liable
financing decisions (capital structure)
Give this one a try later!
decides how to pay for assets acquired:
-equity or debt
-long/short term debt
coupon rate
Give this one a try later!
annual interest payment, as a percentage of face value
coupon rate is NOT discount rate
bond
Give this one a try later!