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The most important cost-related motive for direct foreign investment is diversification across product markets.
Face Value
The nominal value or dollar value printed on a bond, note, or other financial instrument, representing the amount due at maturity.
Unamortized Discount
An unamortized discount refers to the portion of a bond's initial discount that has not yet been amortized or gradually written off over the life of the bond.
Redeemed
Usually refers to the repurchase or paying off of a debt or equity security at its original value or at a predetermined value before it matures.
Effective Interest Rate Method
The effective interest rate method is a technique for calculating the actual interest rate for a financial product over its life, considering compounding.
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