
Business Finance Chapter 7 Vocabulary
Flashcard
•
Business
•
12th Grade
•
Hard
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23 questions
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1.
FLASHCARD QUESTION
Front
a certificate representing a promise to pay a definite amount of money at a stated interest rate on a specified maturity date (due date)
Back
Bond
2.
FLASHCARD QUESTION
Front
a measure of the quality and safety of a company’s debt
Back
Bond rating
3.
FLASHCARD QUESTION
Front
the increase in the value between the purchase price and the maturity value
Back
Capital gain
4.
FLASHCARD QUESTION
Front
unsecured, short-term debt instruments issued by corporations
Back
Commercial paper
5.
FLASHCARD QUESTION
Front
an equity security representing ownership in a corporation with voting rights
Back
Common stock
6.
FLASHCARD QUESTION
Front
the stated annual interest rate for a bond
Back
Coupon rate
7.
FLASHCARD QUESTION
Front
a person who buys a bond, thus lending money to the organization
Back
Creditor
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