Bonds that can be converted into shares of common stock are classified as:
A. Convertible bonds
B. Stock bonds
C. Shared bonds
D. Common bonds
Rate on debt that increases as soon market rises is classified as:
A. Rising bet rate
B. Floating rate debt
C. Market rate debt
D. Stable debt rate
When price of bond is calculated below its par value, it is classified as:
A. classified bond
B. Discount bond
C. Compound bond
D. Consideration earning
Bonds with deferred call have protection which is classified as:
A. Provision protection
B. Provision protection
C. Deferred protection
D. Call protection
Real risk-free interest rate in addition with an inflation premium is equal to:
A. Required interest rate
B. Quoted risk-free interest rate
C. Liquidity risk-free interest rate
D. Premium risk-free interest rate
Stated value of bonds or face value is considered as:
A. State value
B. Par value
C. Bond value
D. Per value
A bond whose price will rise above its face value is classified as:
A. Premium face value
B. Premium bond
C. Premium stock
D. Premium warrants
If coupon rate is less than going rate of interest, then bond will be sold:
A. Seasoned par value
B. More than its par value
C. Seasoned par value
D. At par value
Price of an outstanding bond increases when market rate:
A. Never changes
B. Increases
C. Decreases
D. Earned
Type of bond which pays interest payment only when it earns is classified as:
A. Income bond
B. Interest bond
C. Payment bond
D. Earning bond
