Slide 16-1 McGraw-Hill/Irwin Copyright © 2011 by the McGraw-Hill Companies, Inc. All rights reserved. Slide 2 6-2 Key Concepts and Skills Know the important bond features…

1. Investment Investment is the employment of funds on assets withthe aim of earning income or capital appreciation. Financial Investment is the allocation of money…

Slide 1The Valuation of Bonds Timothy R. Mayes, Ph.D. FIN 4600: Chapter 12 Slide 2 Information Required To value a bond, we need to understand the cash flows that it promises…

Slide 1© Paul Koch 1-1 Review 1: Slope of Payoff Profile for Call Consider the Total Value of a Call Option ∆ (or  ) is dc / dS = slope of payoff profile for a call.…

Slide 1 6-1 Slide 2 6-2 Key Concepts and Skills Know the important bond features and bond types Understand: –Bond values and why they fluctuate –Bond ratings and what…

Slide 1 6-1 McGraw-Hill/Irwin Copyright © 2011 by the McGraw-Hill Companies, Inc. All rights reserved. Slide 2 6-2 Key Concepts and Skills Know the important bond features…

Slide 1 © Paul Koch 1-1 Review 1: Slope of Payoff Profile for Call Consider the Total Value of a Call Option ∆ (or  ) is dc / dS = slope of payoff profile for a call.…