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A Seasoned Instructor's New Look at Fixed-Income Securities: An Exercise Using Discounted Bonds
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Secrest, Thomas W. – American Journal of Business Education, 2012
Having returned to teaching the basics of pricing fixed-income securities after several years, the author recalls the difficulty students have in understanding the total return provided by fixed-income securities that are purchased at either a discount or premium from face value. This teaching note attempts to clarify the concept by suggesting…
Descriptors: Bond Issues, Business Administration Education, Concept Teaching, Teaching Methods