0
Will a call provision increase or decrease the yield to maturity at which a firm can issue a bond?
Wiki User
∙ 14y ago
Callable bonds will pay a higher yield than comparable non-callable bonds. Take from answers.com
Wiki User
∙ 14y ago
Add your answer:
Earn +20 pts
The continued rise in the cost of goods due to the decrease in purchasing power of the dollar This problem was a key issue throughout several administrations including Nixon Ford Carter and Reaga?
inflation
What is an empirical issue?
An empirical issue is a type of issue. In this type of issue, the solution can only be reached by doing experimentation.
What is the difference between a macro a micro issue in economics for the Red Cross needs blood desperately?
the difference between a macro and a micro issue is that a macro issue is something that is a big issue and a micro issue is a small issue like a big issue is something that you need alot and a micro issue is something that you don't need alot.
Is inflation an economic issue?
Yes, it's hardly an economic issue
Is globalization an issue for e-business?
Is Globalization an issue in e-business world?
Will a bond's yield to maturity increase or decrease when the bond become subordinated to another debt issue?
The yield to maturity will most likely increase because the bond will be considered more risky. This means investors will demand a higher yield to own it. Of course, the yield to maturity will only be higher if all the payments are actually made and the bond doesn't default.
What is a provision on a bond which provides for the systematic retirement of the bond prior to their maturity?
A provision on a bond that provides for the systematic retirement of the bond prior to maturity is known as a sinking fund provision. This provision requires the issuer to set aside funds on a regular basis to repay a portion of the bond issue before it matures, reducing the overall debt burden.
What happens to a bond's yield to maturity if investors learn that the bonds are subordinated to another debt issue?
Nothing, but its coupon rate would likely decrease as it is now considered a riskier asset.
What happens when a yield to maturity is less than the yield to call?
The issuer will call the bonds and issue new bonds to the maturity date.
Order the events in the life of a bond from earliest to latest A bond maturity B bond issue C coupon payment?
1)bond issue 2)coupon payment 3)bond maturity
What is the difference between pre-refunded municipal bonds and escrow to maturity ones?
Bonds are "escrowed to maturity" when the proceeds of the refunding issue are deposited in an escrow account for investment in an amount sufficient to pay the principal of and interest on the issue being refunded on the original interest paymentand maturity dates, although in some cases an issuer may expressly reserve its right (pursuant to certain procedures delineated by the SEC) to exercise an early call of bonds that have been escrowed to maturity. Bonds are considered "prerefunded" when the refunding issue's proceeds are escrowed only until acall date or dates on the refunded issue, with the refunded issue redeemed at that time.
How do you deal with a friends maturity issue?
It isn't your issue to deal with. Either put up with it and enjoy what you can, or avoid the person. You are not a psychotherapist, and you are not going to change anything.
Does life go against the law of entropy?
Life can appear to go against the second law of thermodynamics, which states that entropy tends to increase over time in closed systems. However, living organisms do not defy this law; they simply maintain a temporary order within themselves by consuming energy from their surroundings and releasing heat to maintain equilibrium in their internal environment.
What is transformative constitutionalism?
transformative constitutionalism can be said to be a method of bringing an issue in line with the provision of the constitution. it can mean to address a legal issue in a way that it conforms or come in line with the provisions of the constitution.
An example of a Primary market transaction involving money market security?
A new issue of a security with a very short maturity
What should people do about deforestation?
Unlike some places North America does not have this issue. We have seen a large increase in forest density and acreage in the past 100 years. The use of wood also helps decrease CO2 in our atmosphere as it becomes a carbon sink.
You have lived with your fiance for 18 mos you support her child Will the atty general decrease your child support from your previous marriage since you are supporting another child that's not yours?
No, though it may be an issue to raise in a rebuttable presumption at your next review for an increase.
