Yes, and this is part of what’s called the interest rate risk of bonds.
If someone purchased a $1,000 bond with a 5% coupon, and a year later, the company issued new $1,000 bonds with a 4% coupon, in order to buy the 5% coupon bond from the owner, you would obviously need to pay more than $1,000 (since the new bonds issued by the company have a 4% coupon).
Spouses and children can and do receive social security benefits upon the death of a person who paid into the system
Probate is the legal process that takes place after a person’s death, during which legal documents (such as wills and...
The suitability standard states that a broker-dealer is obliged to make recommendations that are suitable for their clients
Treasury notes are government-issued coupon bonds with maturities between 1 and 10 years
Naked shorting means that the seller has not located or secured the security being short sold, and is in many cases illegal
“Pari-passu” is a Latin phrase meaning “equal footing,” typically in reference to treatment of beneficiaries when assets are distributed
Acquiring technologies to abate their environmental impact, and the overhead of such projects is called Abatement Cost
There are two main kinds of accounting methods: accrual accounting and cash accounting
Accounting interpretations are not official standards, but they give insight for situations which may be new developments
Home equity is a notional amount that a person owns at any given time, which is computed as the market value of a...