QS 10-17 (Algo) Bond features and terminology LO A2
Select the item that best fits each description A through H.
Description
A. Records and tracks the bondholders' names.
B. Is unsecured; backed only by the issuer's credit standing.
C. Maintains a separate asset account from which bondholders are paid at maturity.
D. Amount by which the bond price exceeds par value.
E. Can be exchanged for shares of the issuer's stock.
F. Occurs when the contract rate is less than the market rate.
G. Issuer may retire it at a stated dollar amount before maturity.
H. The legal contract between the issuer and the bondholders.
Items