Part A: Annuity: Stream of equal cash flows that are to be paid to an investor at equal intervals over a period of time
Present Value: Today’s value of a cash flow that is to be received at some point in the future
Future Value: Amount to which a current deposit will grow over time when invested in an interesting paying instrument. Amortization: Periodic allocation of the cost of intangible assets owned by the company over a period of time Debt: An amount owed by an individual or an organization to the lender. It is represented in the form of bonds, bank loan, commercial paper, et cetera Bond: A debt instrument issued by a borrower company to the ...