Westonci.ca is the premier destination for reliable answers to your questions, provided by a community of experts. Experience the ease of finding quick and accurate answers to your questions from professionals on our platform. Join our platform to connect with experts ready to provide precise answers to your questions in different areas.
Sagot :
A firm’s bond rating slips by 1 category for each additional 0.5% in current debt interest.
Why bond rating is important to firms?
Bond ratings serve as indicators of how creditworthy business or government bonds are. Ratings are assessments of a bond issuer's financial stability and ability to pay back the bond's principal and interest in accordance with the terms of the contract. They are released by credit rating organizations.
The rating is significant because it influences the interest rate that businesses and governmental entities pay on their bonds in addition to its role in informing investors. The analysis firm's financial statements and the accompanying financial ratios are what determine the rating. Networks with other interested parties, like those with a parent company, regional governmental organizations, and systemic federal support pledges, are examples of external impacts.
To learn more about bond rating, visit:
https://brainly.com/question/14667431
#SPJ1
We appreciate your time. Please revisit us for more reliable answers to any questions you may have. Thank you for visiting. Our goal is to provide the most accurate answers for all your informational needs. Come back soon. Get the answers you need at Westonci.ca. Stay informed by returning for our latest expert advice.
