Personal Finance 1st Edition by Jack R. Kapoor

Exercise 13

Using the Internet to Obtain Investment Information. Use the Internet to locate the Web site for Treasury Direct (www.treasurydirect.gov). Then prepare a report that summarizes how one of the securities issued by the U.S. Treasury could help you obtain your financial goals. (Obj. 4)

Step 1 of 2

Corporate bonds are small denomination fixed-term loans that are taken by corporates by issuing corporate bonds in the market and promises to pay back the fixed amount of return including interest payment at maturity date. Maturity date is basically the date at which the bond expires as a contract and the issuing company has to buy back the bond and repay the holder the due amount. The face value is the value that bond holder will receive on maturity date. Interest payments are the periodic payments that are made by issuer to holder, as per the conditioned mentioned in the bond.