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Long-term obligations
Bond indenture are a frequent part of the issuance of bonds and other long-term debt.Discuss what bond indenture are,why the auditor is concerned about them and some of the audit procedures that would be applied because of them.What are some common types of provisions that are typically included in such agreements?
Present Value
The current value of a future sum of money or stream of cash flows given a specified rate of return, used in the evaluation of investment opportunities.
Cash Flow Stream
A series of cash inflows and outflows over a period of time, often used in financial models to determine investment viability or project returns.
Rate of Return
The gain or loss on an investment over a specified time period, expressed as a percentage of the investment's initial cost, indicating profitability.
Perpetuity
A series of payments of a fixed amount that last indefinitely.
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