Choose a publicly traded company(Target) that issues bonds. You can locate this information by reviewing your chosen company’s annual report online. A good place to start is the Annual Reports website. In your case study, discuss the following aspects of the company.
- Provide a brief introduction of the company, including its name, headquarters, products/services offered, and approximate net worth.
- What are the key features of one of the bonds issued by your chosen company? Discuss how the bond’s terms and collateral can affect the bond’s interest rate.
- How would a potential investor determine the value and risk of the bond?
- Explain the concept of the time value of money (TVM) as it applies to the company’s bond offerings.