Week 7,8 The Valuation of Long-Term Securities

After studying Chapter 4, you should be able to: Distinguish among the various terms used to express value, including liquidation value, going-concern value, book value, market value, and intrinsic value.

Value bonds, preferred stocks, and common stocks.

 Calculate the rates of return (or yields) of different types of long-term securities.

List and explain a number of observations regarding the behavior of bond prices