For a corporation, what are theadvantages of corporate bondsover long-term loans?

Q: A corporation recognizes a gain or loss O only when bonds are converted into common stock. when…

A: Redemption of Bond: When interest rates fall dramatically, bond issuers are forced to redeem their…

Q: The cash interest payment a corporation makes to its bondholders is based on

A: Bonds: Bonds are defined as debt instruments which are usually issued by the company that borrows to…

Q: Which of the following are differences between a bond and a common​ stock? ​(Select all that​…

A: Debt markets are markets where you contribute within the institutions or trade substances by the…

Q: What is Debt financing? What are the major sources of corporate financing?

A: Corporate finance is the domain of finance concerned with how companies cope with financing sources,…

Q: These are certificates that promise to pay a fixed rate of interest by a corporation or government…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: How company  take tax advantage of Bonds Payable

A: A bond is a financial instrument which is issued by an entity with the intention to re-pay the…

Q: Define junk bonds and explain how junk bonds became an important factor in corporate bond market.

A: The corporation and government can raise finance by issuing bonds. The borrower i.e bond issuer is…

Q: How do bonds provide financing to corporations for their capital projects? What are the key…

A: A bond is a good source of finance. Payment of coupon at a regular interval help in tax savings.

Q: What factors might lead a company to gain additional fundsthrough debt financing rather than through…

A: Company mainly has two type of Sources of Fund. 1. Equity Fund  2. Debt Fund.

Q: primary way a corporation can raise money through Equity financing

A: Primary market is market where money is raised via public by issue of stock.

Q: types of Corporate finance? What are the elements of Corporate

A: Step 1 Business finances play an important role in all businesses. Regardless of the size or type of…

Q: In which market environment does the issuance of a callable bond make more sense from a corporate…

A: A bond is a debt security that is sold by a business entity to borrow long-term funds. Generally,…

Q: Which of the following can be described as involving direct finance? A. People buy shares in a…

A: Direct finance does not involve any intermediate party or a third party. There is a direct…

Q: Compare and contrast corporate bonds with Government        bonds.

A: Bonds refer to the investment securities in which the money is lent by an investor to the company…

Q: The sale of bonds is also referred as: a. Public Finance b. Debt Finance c. Equity Finance d.…

A: The Bonds is a type of  a loan. When  a company, Government or muncipal corporation is in need of…

Q: Explain what a corporate bond is b. Outline the characteristics of the bond market d. Explain the…

A: A company can raise capital and secure financing through different mediums of debt and equity.…

Q: Which of the following are traded in money markets? banker’s acceptances all Treasury securities…

A: Money market instrument means those instrument which are issued in money market and generally for…

Q: True (t) or False (f) _____ Bond interest paid by a corporation is an expense, whereas dividends…

A: Bonds are the certificates of loan taken by a corporation. It is typically secured in nature. The…

Q: Identify the following as either an advantage (A) or a disadvantage (D) of bond financing for a…

A: Bonds payable: Bonds payable are referred to long-term debts of the business, issued to various…

Q: Write a detailed note on Corporate Bonds.

A: Bond is the debt instrument which is securitized as tradeable assets. It is kind of fixed income…

Q: Corporate bonds that can be exchanged for shares of the corporation’s common stock ifcertain…

A: Corporate bond: It can be defined as a debt security, usually issued by the public or private…

Q: What are municipal bonds? What characteristics makes them especially attractive to high-income…

A: The state government issues municipal bonds. They can be thought of as a risk-free investment…

Q: A corporation that uses debt concentrates the risks of the business on the ___________.

A: Answer

Q: Bond Valuation Theory Question 2 Securities issued by Corporations are classified as either debt or…

A: Introduction: Debt: Borrowing money for running the company called as Debt. Debt is a liability to…

Q: Discuss the characteristics of corporate bonds.

A: Corporate bond-It is a bond issued by a company to fund its business operations, major expansions,…

Q: A corporate bond is a long-term debt instrument indicating that a corporation has borrowed a certain…

A: Long-term debt refers to debt obligations with a maturity of more than one year. Long-term debt is a…

Q: How any company is taking tax advantage of bonds payable or any other fixed cost financing?

A: Bond can be considered as an I.O.U between the lender and the borrower that contains details about…

Q: The cash interest payment a corporation makes to its bondholders is based on ________.A. the market…

A: Bondholders is the amount of liability or obligation in form of bonds or debentures of the company.…

Q: What is the difference between a corporate bond and a registered bond?

A: Introduction: Bonds are an example of a loan. It is similar to an IOU and so when you buy bonds, you…

Q: How will investors maximize the returns of corporatebonds or redeem their corporate bonds?

A: Corporate bond is defined as the bond, which is used to issue through the company for increasing the…

Q: :A dicount on bonds payable .Occurs when a corporation issues bonds with a stated rate more than the…

A: A discount on bonds payable is a contra liability account which represents unamortized discount on…

Q: Most bonds: Select the correct response: give bondholders a voice in the affairs of the corporation…

A: Bond is a debt instrument issued by companies and government. It is a fixed income instrument which…

Q: Which of the following is not a primary source of corporate debt financing? a. Bonds. b. Notes. c.…

A:

Q: When are corporations likely to call their bonds?

A: They are many types of Bond, Generally the Bonds are Paid at the time of Maturity to the Bond holder…

Q: What is a bond?

A: Hey, since there are multiple questions posted, we will answer first question. If you want any…

Q: True (t) or False (f) _____ Debt investments are investments in government and corporation bonds

A: Debt investments are investments in a company or firm by borrowing amount through the way of…

Q: State the types of corporate bonds.

A: Bonds are basically corporate debt units that are issued and securitized as the tradeable assets by…

Q: The legal document that spells out the rights of the bond holders and terms of a corporate bond is…

A: Solution:- When a company issues bond, it signs an agreement between the company and the bond…

Q: Describe corporate bonds and explain the taxadvantage of debt financing.

A: A corporate bond is a financial instrument issued by a corporation in order to raise funds for the…

Q: If bonds issued by a corporation are sold at a discount, is the market rate of interest greater or…

A: Identify the market rate of interest.The market rate of interest of bonds is greater than the…