Examlex
Explain the problems associated with inappropriate accounting practices.
Premium Bond
A bond that is trading above its par value in the financial markets.
Default Risk Premium
The additional yield that an investor demands for holding a bond with default risk over a similar risk-free security.
Nominal Interest Rate
The rate of interest before adjustments for inflation.
Bond Yield
The return an investor realizes on a bond, calculated by dividing the annual interest payments by the bond's current market price.
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