Asked by Anita Gallegos on Jun 22, 2024
Verified
When the maturities of a bond issue are spread over several dates, the bonds are called
A) serial bonds
B) bearer bonds
C) debenture bonds
D) term bonds
Serial Bonds
Bonds that mature at different intervals over a period of time, allowing the issuer to retire a portion of the bond issue at regular intervals.
- Distinguish between different categories of bonds and understand their unique attributes.
Verified Answer
AA
Arslan ArshadJun 24, 2024
Final Answer :
A
Explanation :
Serial bonds have different maturities for different parts of the bond issue. This is in contrast to term bonds, which have one maturity date for the entire bond issue. Bearer bonds and debenture bonds refer to different aspects of the bond, unrelated to the maturity schedule.
Learning Objectives
- Distinguish between different categories of bonds and understand their unique attributes.