Coupon interest payment, Financial Management

An investor receives periodic interest payments at specified intervals till the date of holding or maturity. However, the holder of zero coupon bonds, who buys the bond at a price below the par value, is not paid interest periodically; instead, he receives the interest at the time of maturity. Investors are paid the par value at the time of maturity. The difference between the par value and the purchase price gives us the interest the investor receives.

Posted Date: 9/10/2012 1:34:15 AM | Location : United States







Related Discussions:- Coupon interest payment, Assignment Help, Ask Question on Coupon interest payment, Get Answer, Expert's Help, Coupon interest payment Discussions

Write discussion on Coupon interest payment
Your posts are moderated
Related Questions
Q. Explain about Inventory Turnover Ratio ? Inventory Turnover Ratio: - Definite items of inventory are slow moving. It signifies that their consumption is quite slow and capit

Which is lower for a given company:  the cost of debt or the cost of equity?  Explain.  Ignore taxes in your answer. The cost of debt is all the time less than the cost of equi

You have the following limited information upon which to base your decision as to which is the better of two alternative funding arrangements: ? Alternative 1 is to arrange funding

Accounts receivable are sometimes not collected.Why do companies extend trade credit when they could insist on cash for all sales? Extending trade credit almost for all the tim

What is the usual pattern of cash flows for a share of preferred stock? How does the market determine the value of a share of preferred stock, given these promised cash flows?

A procedure that invented in the 1980s for evaluating the processes of a business to find strengths and weaknesses. Specially, activity-based management finds out areas where a bus

When a borrower uses repo market for fund financing, he has to deliver the securities to the lender. One way to do this is to deliver the collateral to the lender

how are indian customers visiting shoppers stop

Genital and Reproductive Function: J.Y. is a 43-year-old woman who has detected a lump in the upper outer quadrant of her left breast while performing her monthly self-breast

Describe the major factors contributing to effective cash management in a firm.  Why is the cash management process more difficult in a MNC? An effective cash management system s