1. Why should we consider capital spending separate from operating budgets? In your discussion, ensure that you denote the difference between capital investments and current expenditures. 2. Why do general obligation bonds usually earn less interest than nonguaranteed bonds?
3. What is the difference between coupon bonds and registered bonds? Which of these bonds do states and local governments prefer to issue and why? What law affected state and local governments’ attitudes towards these types of bonds?
4. What are zero coupon bonds?
5. In your own words, what is cash management?