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Managers Often Use Two Special Indexes to Help Identify Strong

question 192

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Managers often use two special indexes to help identify strong and weak market segments in order to provide direction for marketing efforts.The two indexes, CDI and BDI respectively, stand for


Definitions:

Bonds at Par Value

Bonds that are sold or traded at their original issuing price or face value.

Equity Financed

Refers to the method of raising capital for a business by selling ownership shares in the company, as opposed to incurring debt.

Coupon Rate

The annual interest rate paid on a bond, expressed as a percentage of the face value and paid from issue date until maturity.

Equity Financed

The method of funding a business through selling shares of the company to investors, thus raising capital without incurring debt.

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