During a period of economic expansion, when expected profitability is high, the demand curve for bonds shifts to the left.the supply curve of bonds shifts to the right.the equilibrium interest rate falls.the equilibrium price of bonds rises
Debenture Valuation
A debenture is a private and long-term debt instrument issued by financial, non-financial institutions, governments, or corporations. A debenture is classified as a type of bond, where the instrument carries a fixed rate of interest, commonly known as the ‘coupon rate.’ Debentures are documented in an indenture, clearly specifying the type of debenture, the rate and method of interest computation, and maturity date.
Note Valuation
It is the process to determine the value or worth of an asset, liability, debt of the company. It can be determined by many processes or techniques. Many factors can impact the valuation of an asset, liability, or the company, like:
During a period of economic expansion, when expected profitability is high, the demand curve for bonds shifts to the left.the supply curve of bonds shifts to the right.the equilibrium interest rate falls.the
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