Business English Lesson – Advanced Level''''s archiveDiscount Bonds pdf

Business English Lesson – Advanced Level's archive
Discount Bonds
1. The basis of a bond initially equals the total purchase
price; for a discount bond, the basis increases at the rate
of the accrued discount until it reaches the principal
value at maturity.

average
coupon
listed
market
2. Security consultants can offer their expertise to a
broader market, but recommendations are not entirely
unproblematic, as perverse incentives may tempt certain
actors to the security ratings of their competitors.

bad mouth
deadhead
downgrade
underwhelm
3. The house selling the Catholic bonds published in its
formal advertisement that 36% of the inhabitants of the
German Reich were Roman Catholics, while the house
offering the Protestant bonds asserted in its newspaper
reproduction of the bond that more than two-thirds
of the German population was Protestant.

brochure
circular
flyer
leaflet

4. The Cost-of-Living (COLA) is determined by the
U.S. Department of Labor, which calculates the change in
the Consumer Price Index (CPI) for urban wage earners
and clerical workers from the third quarter average of the
previous year to the third quarter average for the current
year.

Accrual
Addition
Adjustment
Amendment
5. In a sales escrow for the sale of a business, a
legal notice to creditors is advertised in an approved legal
advertising newspaper in the judicial district where the
business is located; this is to allow creditors 12 business
days to file claims for payment with the escrow.

bulk
final
gross
net
6. When loan officers have little hard information to work
with, they must estimate a client's earnings and judge
intangible elements such as trustworthiness to determine if
s/he is a candidate for a loan; these evaluations
may be derived from subjective qualities such as the
strength of the client's handshake or how well s/he makes
eye contact.

benevolent

blind
character
individual
7. A Yankee Certificate of Deposit necessarily involves a
foreign bank with a branch in the United States, while
Certificate of Deposit involves an American bank
with an off-shore branch.

a Confederate
a Dixie
a Eurodollar
an Expat
8. The Real Estate Settlement Procedures Act (RESPA)
will apply in any transaction in which a buyer is obtaining a
federally insured mortgage from a financial institution; this
requires use of a statement developed by the
Department of Housing and Urban Development.

closing
contractual
settlement
summary
9. The public mission and the defining goal of the
National Mortgage Association (FNMA) is to help more
families achieve the American Dream of homeownership
by providing financial products and services that make it
possible for low-, moderate-, and middle-income families
to buy homes of their own.

Family

Federal
Financed
Franklin
10. compounding is the limit of taking shorter and
shorter compounding periods: compound every hour,
every minute, every second, etc, and as you continue this
sequence, the formulas get worse and worse, but you are
approaching a formula simpler than any of the other
compound interest formulas.

Continuous
Foreshortened
Infinitesimal
Logarithmic