Examlex
Identify and explain the primary differences between fixed and flexible budgets.
Coupon Rate
The annual interest rate paid by a bond relative to its face value, representing the yield an investor is expected to earn if the bond is held to maturity.
Yield to Maturity
The total return anticipated on a bond if it is held until its maturity date, considering all interest payments and principal repayment.
Coupon Rate
The interest rate on a bond that the issuer promises to pay annually or semi-annually to the bondholder.
Market Yield
The annual income on an investment divided by the market price of the investment, typically expressed as a percentage.
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