Debt securities such as bonds pay a stated interest rate. This interest rate depends on...
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Accounting
Debt securities such as bonds pay a stated interest rate. This interest rate depends on the risk of investment. In addition, bond prices change when investment risk changes. Standard and Poors provide ratings for companies. Stock prices also fluctuate. Fluctuations depend on various factors.
Find an article about a company that has been affected recently by its bond rating or its stock price. Relate the story to what we learned this week about accounting for bonds (liabilities) and stock (stockholders equity).
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