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Explain the accounting treatments for notes and bonds when issued?
Weegy: Prepaid expenses taken to the debit side because they money is debited to the bonds and notes account while the users account is credited cause money from their account catered for the bonds but with an assured return of investment. [ ] (More)
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Asked 12/19/2011 8:15:50 PM
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What rate will an investor receive if they choose to invest in a bond when the interest rates differ?
Weegy: The way you invest in bonds for the short-term or the long-term depends on your investment goals and time frames, the amount of risk you are willing to take and your tax status. When considering a bond investment strategy, [ remember the importance of diversification. As a general rule, it’s never a good idea to put all your assets and all your risk in a single asset class or investment. You will want to diversify the risks within your bond investments by creating a portfolio of several bonds, each with different characteristics. Choosing bonds from different issuers protects you from the possibility that any one issuer will be unable to meet its obligations to pay interest and principal. Choosing bonds of different types (government, agency, corporate, municipal, mortgage-backed securities, etc.) creates protection from the possibility of losses in any particular market sector. Choosing bonds of different maturities helps you manage interest rate risk. With that in mind, consider these various objectives and strategies for achieving them. ] (More)
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Asked 12/19/2011 9:22:48 PM
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