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T/F 1. when a corporation issues bonds, the price that investors are willing to pay for the bonds depends on all of the following except

Sagot :

The price that investors are willing to pay for the bonds depends on the factors except b) the call price of the bonds.

The definition of a bonds is that they are security notes similar to IOU notes issued to the lenders, investors, or holder of the bonds stating that the issuer acknowledges a debt which which will be paid upon reaching maturity date along with the applicable interest which will also be paid over the time period specified in the bonds. Bonds may be issued by corporations or government in order to raise funds for certain projects and also to raise capital. Bonds can be purchased and sold and transferred from one party to another party before the maturity date in the secondary capital market, and traders or investors often take advantage of the bond price fluctuations by buying and selling them in order to profit from the price difference.

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Your question seems to be incomplete but I suppose your complete question was:

"When a corporation issues bonds, the price that investors are willing to pay for the bonds depends on all of the following EXCEPT

a) the periodic interest to be paid on the bonds.

b) the call price of the bonds.

c) the face amount of the bonds.

d) the market rate of interest."