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Explain the Operations of Indian Stock Market.
Meaning of Stock Exchange: Stock exchange means an organized market where securities issued by government organizations, companies and semi-organisations are sold and purchased. Securities include:
(i) Shares
(ii) Debentures
(iii) Bonds etc.
Define the term Public Issues - Floating New Issues Under this method, issuing company directly offers to general public/institutions a fixed number of shares
Suppose the current yield curve is as follows: (a) Calculate the current market prices of two bonds with the following annual cash flows: Bond A: A coupon of $60 is due
Term Structure of Interest Rates The term structure of interest rate give details the relationship between the term to maturity and interest rates and the differences between
Pursuing self esteem ambitions and Creative Accounting Pursuing power and self esteem ambitions This is called "empire building" to enlarge the firm via acquisitions and me
Growth Rates Most Recent Fiscal Year Fiscal Year (-1) Fiscal Year (-2) Fiscal Year (-3) Annu
Liquidity Preference Theory This theory states that short term bonds are extremely favorable than long term bonds for two (2) purposes. 1. Investors usually prefer short te
At t = 0, a 3-year, 7% coupon corporate bond with face value $1,000 is trading at a credit spread of 15%. The risk free rate is constant and equal to 4% for all maturities. The rec
flotation cost of 15% for bond, bonds 8%,$1,000 par value, 16 year maturity
Acceptance Rule of Payback Period or PBP By using PBP method a company such will accept all those ventures whose payback period is less than to set via the management and will
Setting a Reorder Point - ROP Once the order quantity has been determined, the next question to be settled is when to place the order. If an order is released and it takes th
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