Explain the Cost of Redeemable Debentures and Preference Shares
Answers
Redeemable fixed return securities have a definite maturity period. The cost of such securities is called yield to maturity (YTM) or redemption yield (RY). For a redeemable debenture Kd (cost of debt) = YTM = RY, can be determined using approximation method as follows:
Wilfykil answered the question on
August 5, 2019 at 06:15
Next: Give four modes of expressing food relationship in an ecosystem.
Previous: How are desert plants adapted to conserving water?
View More Capital Structure and Financial Management Questions and Answers | Return to Questions Index
Exams With Marking Schemes
Related Questions