FM-MIDTERM P1-2

It is the annuity of interest on loan or bond payments, including partial principal payments.

• Arbitrage

• Amortization

• Annuity

• Back-door listing

It is a series of cash flows, whether they are cash receipts or payments, with an equal amount over a certain period of time.

• Annuity

• Amortization

• Arbitrage

• Bond discount

It is a transaction where one buys a certain financial asset in one market and sells it right away in another market.

• Bond indenture

• Black-Scholes Pricing Model

• Arbitrage

• Back-door listing

It is done when a company that does not meet the requirements for listing acquires a listed company.

• Back-door listing

• Break-even sale

• Callable Bond Issuance

• Bond-with-warrant

It is basically the company's net profit after deducting the preferred dividend payment from the outstanding shares.

• Break-even EPS

• Basic EPS

• Book value

• Bond discount

It is a formula that helps to determine the fair price of European-style options, which are financial contracts giving the right to buy or sell an asset at a set price by a certain date.

• Bond premium

• Black-Scholes Pricing Model

• Capital budgeting

• Call option

It is a long-term promissory note that promises to make principal payments at maturity and interest payments every period.

• Bond

• Bond indenture

• Bond discount

• Bond premium

It comes from an understanding that two parties have come together and agreed to nurture a relationship of mutual interest and trust.

• Bond

• Bond indenture

• Capital rationing

• Call option

It is offered when its selling price is less than the bond's par value.

• Bond premium

• Bond discount

• Bond-with-warrant

• Callable Bond Issuance

It is a bond contract between the issuers and bondholders.

• Bond premium

• Bond indenture

• Capital rationing

• Book value