In order to compensate the investors, what kind of debentures are issued at substantial discount and the difference between the nominal value and the issue price is treated as the amount of interest related to the duration of the debentures?
Zero coupon rate debenture
The correct answer is Zero coupon rate debenture. Zero coupon rate debentures are issued at substantial discount, and the difference between nominal value and issue price is treated as the amount of interest related to the duration of the debentures.
Similar Questions
If the value of debentures is less than the value of the net asset taken over, then the difference will be credited to:
The part of capital which is called-up only on winding up is called ______.
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Important Questions from Corporate Accounting
In order to compensate the investors, what kind of debentures are issued at substantial discount and the difference between the nominal value and the issue price is treated as the amount of interest related to the duration of the debentures?
If the value of debentures is less than the value of the net asset taken over, then the difference will be credited to:
The part of capital which is called-up only on winding up is called ______.
From which of the following, companies cannot buy its own shares?
When managers commit errors of over-optimism in evaluating merger opportunities due to excessive pride or animal spirit is termed as
