--%>
Assignment Help - homework help

Characteristics of Zero coupon bonds market instrument

State the characteristics of the Zero coupon bonds market instrument.

E

Expert

Verified

Zero coupon bonds are sold at the discount from face value and also do not pay any coupon interest over their life.  At the time of maturity, investor receives full face value.  Other form of zero coupon bonds is the stripped bonds.  A stripped bond is a zero coupon bond which results from stripping the coupons and principal from the coupon bond.  Result is a series of zero coupon bonds which is presented by the individual coupon and principal payments.

   Related Questions in Financial Accounting

  • Q : Find the expected dividend for each of

    Suppose a firm's common stock paid a dividend of $1.75 yesterday. You expect the dividend to grow at the rate of 8% per year for the next 3 years, if you buy the stock, you plan to hold it for 3 years and then sell it.

    Q : Financial report Details of Assignment

    Details of Assignment : You are required to form a team (group) of 3 to 4 m embers. Let your lecturer know the names of your team members. Select a set o f financial statements for a group of companies and obtain approval from your le cturer for the group of companies that you have selected.

    		•
  • Q : Factors for surge in the international

    List some factors which are responsible for recent surge in the international portfolio investment (IPI)?

    		•
  • Q : What is forfaiting transaction What is

    What is meant by the forfaiting transaction?

    		•
  • Q : Computing overall balance and its

    Discuss how to compute overall balance and explain some of its significance.

    		•
  • Q : What is Treasury bills What is Treasury

    What is Treasury bills? What did they do?

    		•
  • Q : Prepare the balance sheet At the end of

    At the end of March, 2006 the balances in the various accounts of TTTTT & Company are as follows: Rs. in million Accounts Balance Equity capital 120 Preference capital 30 Fixed assets (net) 217 Reserves and surplus 200 Cash

    		•
  • Q : Please help me he following information

    he following information is taken from the financial statements of an entity: 20x4 20x3 Property, plant and equipment $4,600,000 $4,200,000 Accumulated depreciation (1,800,000) (1,350,000) Depreciation expense 560,000 Gain on disposal of PPE 65,000 The asset disposed of had a cost

    		•
  • Q : Leadership qualities required for

    Question Can one person in an organization make a difference? Write an essay on the leadership qualities required for running modern organizations <

    		•
  • Q : Conglomerate expansion Evaluate the

    Evaluate the given statement: “Firm may decrease its currency exposure by diversifying across the different business lines”.

    		•