Financing Terms. Fill in the blanks by choosing the appropriate term from the following list: lease, funded, floating-rate, eurobond, convertible, subordinated, call, sinking fund, prime rate, private placement, public issue, senior, unfunded, eurodollar rate, warrant, debentures, term loan.

a. Debt maturing in more than 1 year is often called _________ debt.

b. An issue of bonds that is sold simultaneously in several countries is traditionally called a(n) _________.

c. If a lender ranks behind the firm’s general creditors in the event of default, the loan is said to be _________.

d. In many cases a firm is obliged to make regular contributions to a(n) _________, which is then used to repurchase bonds.

e. Most bonds give the firm the right to repurchase or _________ the bonds at specified prices.

f. The benchmark interest rate that banks charge to their customers with good to excellent credit is generally termed the _________.

g. The interest rate on bank loans is often tied to short-term interest rates. These loans are usually called _________ loans.

h. Where there is a(n) _________, securities are sold directly to a small group of institutional investors. These securities cannot be resold to individual investors. In the case of a(n) _________, debt can be freely bought and sold by individual investors.

i. A long-term rental agreement is called a(n) _________.

j. A(n) _________ bond can be exchanged for shares of the issuing corporation.

k. A(n) _________ gives its owner the right to buy shares in the issuing company at a predetermined price.