Question: You do not need to restate the question in the narrative. Draft your answer in continuous paragraph form for each set of questions. Clearly label

You do not need to restate the question in the narrative. Draft your answer in continuous paragraph form for each set of questions. Clearly label the number of the prompt you are answering. Consider as your audience a friend or family member who is intelligent but unfamiliar with financial concepts and relying on you for an explanation.

1) What is a bond? What is a stock? How are they the same? How are they different? What is preferred stock? How is preferred stock like a bond? How is it like a stock?

2) Describe a method for calculating value for a Bond. Describe a method for calculating value for a stock.

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1A bond is a type of investment where an individual lends money to a corporation government or other organization for a specified period of time typic... View full answer

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