- This topic has 1 reply, 2 voices, and was last updated 5 years ago by
.
Viewing 2 posts - 1 through 2 (of 2 total)
- Posts
can you explain this, I could not understand it from the lectures?
Provide for the premium payable on the redemption of shares or debentures.
When a company wishes to repay a loan that was issued under a debenture, that debenture agreement may have provided that, on repayment, the company would pay (say) £1.05 per £1 face value
That additional 5 pence is the “premium payable on the redemption” of those debentures
Better?
Viewing 2 posts - 1 through 2 (of 2 total)
- You must be logged in to reply to this topic.