Matching
Match the following descriptions to their terms
Premises:
the principal of the bond is paid back in installments
allows the issuer to redeem bonds before maturity date
the value of a bond stated on the bond certificate
a bond issued without any collateral or security
the entire principal of the bond is paid back on maturity date
allows the bond hold to exchange bond for shares of stock
the legal contract between issuer and bond holder
Responses:
Debenture
Term bond
Face value
Indenture
Callable bond
Serial bond
Convertible bond
Correct Answer:
Premises:
Responses:
the principal of the bond is paid back in installments
allows the issuer to redeem bonds before maturity date
the value of a bond stated on the bond certificate
a bond issued without any collateral or security
the entire principal of the bond is paid back on maturity date
allows the bond hold to exchange bond for shares of stock
the legal contract between issuer and bond holder
Premises:
the principal of the bond is paid back in installments
allows the issuer to redeem bonds before maturity date
the value of a bond stated on the bond certificate
a bond issued without any collateral or security
the entire principal of the bond is paid back on maturity date
allows the bond hold to exchange bond for shares of stock
the legal contract between issuer and bond holder
Responses:
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