Based on the information presented in the video, attached a word document or post brief responses to the following requirements:
Explain why companies issue corporate bonds – (1 pt)
Explain where the accountant would find the terms and conditions of a company’s bond issue. – (2 pts)
Explain the interest an investor would have in buying equity (common stock) in a company vs the interest a bondholder would have in buying a company’s bond. – (2 pts)
List and explain the (3) types of bond issues. (5 pts)
List 2 commonly known bond credit rating agencies. (2 pts)
What instrument acts as the bond agreement? (2 pts)
Bond issues are typically issued in what denomination? How about “Baby Bonds”? (2 pts)