A 10-year bond was issued four years ago. The bond is denominated in US dollars, offers a coupon rate of 10% with interest paid semi-annually, and is currently priced at 102% of par. The bonds()
A. tenor is six years
B. nominal rate is 5%
C. redemption value is 102% of the par value
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A South African company issues bonds denominated in pound sterling that are sold to investors in the United Kingdom. These bonds can be best described as()
A. Eurobonds
B. global bonds
C. foreign bonds
Investors seeking some general protection against a poor economy are most likely to select a()
A. deferred coupon bond
B. credit-linked coupon bond
C. payment-in-kind coupon bond
A sweepstakes winner may select either a perpetuity of $2,000 a month beginning with the first payment in one month or an immediate lump sum payment of $350,000. If the annual discount rate is 6% comp
A. less than the lump sum
B. equal to the lump sum
C. greater than the lump sum
Which of the following provisions is a benefit to the issuer()
A. Put provision
B. Call provision
Conversion provision