Municipal securities, Financial Management

Municipal Securities are debt securities issued by a State, Municipality or a County in order to finance its capital expenditures. These securities are exempted from Federal taxes, State taxes and Local taxes. State taxes and Local taxes are exempted where the investor resides in the state in which such security is issued. However, capital gains on these securities are still taxable. Unlike treasury securities, municipal securities have credit risk associated with them.

Basically, Municipal Securities are of two types:

  1. Tax-Backed debt obligations, and
  2. Revenue bonds.
Posted Date: 9/8/2012 6:53:45 AM | Location : United States







Related Discussions:- Municipal securities, Assignment Help, Ask Question on Municipal securities, Get Answer, Expert's Help, Municipal securities Discussions

Write discussion on Municipal securities
Your posts are moderated
Related Questions
The director of capital budgeting for a firm has recognized two mutually exclusive projects, A and B, with the following expected net cash flows:

Q. Evaluate Earning Yield plus Growth in Earning Method? Earning Yield plus Growth in Earning Method: - If the EPS of a company is likely to grow at a constant rate of growth t

Treasury bills are the bills, the government issues with maturity period of one year or less than one year. Treasury bills are usually issued as discount securiti

Jane has agreed to sell her Porshe 911 Cabriolet worth RM1.3 million to Lim for the price of RM 500,000. The decision was made rather hastily as Jane need money to pay her creditor

a choice is to be made between the two completing proposal which require an equal investment of Rs.50000.00 and we are expected t gererate net cash flow as under. Year Project A

Forms of Regulation There are different forms of regulation to regulate market to fulfill certain objectives. These are discussed below: Disclosure Regulation The whole

Ask question Open Quick Links Quick Links Page Landmarks Content Outline Keyboard Shortcuts Global Menu Top Frame Tabs My UMass Amherst Tab 1 of 2 (active tab) Help & Resource

Q. Describes the Gordons dividend model? Gordon's Model: - Gordon's model is one more theory which contends that dividend policy is relevant for the value of the firm. Alternat

What is in store for banking consolidation? A: Merger activity is a natural procedure by which companies make themselves more effective and better able to compete for customers

What is working capital? Working capital contains the current assets of the firm.