Matching
Match each definition with its term
Premises:
1 The contract between the bond issuer and the bondholder(s); it identifies the rights and obligations of the parties
A series of equal payments at equal intervals
Bonds that give the issuer an option of retiring them at a stated amount before the date of maturity
Bonds that require the issuer to create a fund of assets at specified amounts and dates to repay the bonds at maturity
Bonds that have specific assets of the issuer pledged as collateral
The ratio of total liabilities to total equity
The difference between the par value of a bond and its higher issue price or carrying value
The interest rate specified in the bond indenture
A written promise to pay an amount identified as the par value along with interest at a stated rate
The net amount at which bonds are reported on the balance sheet
Responses:
Secured bonds
Annuity
Premium on bonds
Callable bonds
Contract rate
Bond indenture
Sinking fund bonds
Carrying value
Debt to equity ratio
Bond
Correct Answer:
Premises:
Responses:
1 The contract between the bond issuer and the bondholder(s); it identifies the rights and obligations of the parties
A series of equal payments at equal intervals
Bonds that give the issuer an option of retiring them at a stated amount before the date of maturity
Bonds that require the issuer to create a fund of assets at specified amounts and dates to repay the bonds at maturity
Bonds that have specific assets of the issuer pledged as collateral
The ratio of total liabilities to total equity
The difference between the par value of a bond and its higher issue price or carrying value
The interest rate specified in the bond indenture
A written promise to pay an amount identified as the par value along with interest at a stated rate
The net amount at which bonds are reported on the balance sheet
Premises:
1 The contract between the bond issuer and the bondholder(s); it identifies the rights and obligations of the parties
A series of equal payments at equal intervals
Bonds that give the issuer an option of retiring them at a stated amount before the date of maturity
Bonds that require the issuer to create a fund of assets at specified amounts and dates to repay the bonds at maturity
Bonds that have specific assets of the issuer pledged as collateral
The ratio of total liabilities to total equity
The difference between the par value of a bond and its higher issue price or carrying value
The interest rate specified in the bond indenture
A written promise to pay an amount identified as the par value along with interest at a stated rate
The net amount at which bonds are reported on the balance sheet
Responses:
Related Questions
Q37: The type of bond that provides the
Q65: Explain the amortization of a bond discount.
Q97: Unsecured bonds are also called _ and
Q103: Amortizing a bond discount:<br>A)Allocates a part of
Q158: A company issued 18-year,6% bonds with a
Q176: Match each of the following terms with
Q177: On January 1,2010,the Plimpton Corporation leased some
Q194: An advantage of bonds is that interest
Q194: The _ concept is the idea that
Q205: A bond's par value is not necessarily