When you buy a bond, you are...
Lending money to the company and making the company take on debt
Getting equity in the company
What is maturity?
When you finally don't laugh at cartoons anymore
When a company's assets equals its debts
The date that a company pays back the bonds (and interest)
When a bond loses all its value
What does "zero-coupon" mean?
It describes a bond that pays out interest in small increments
It describes a bond that pays out interest in large increments
It describes a bond that pays out interest immediately
It describes a bond that does not pay out interest until maturity
Which is more risky: stocks or bonds? Hint: This information is not in the video. The information is from your Unit 6, Day 6 notes.
Bonds are more risky
Stocks are more risky
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