1) What is the purpose of the capital market? How do capital market securities differ from money market securities in their general characteristics?

2) What is a bond indenture?

3) What role do restrictive covenants play in bond markets?

4) What is the difference between a general obligation bond and a revenue bond?

5) What are Treasury STRIPS?

6) What is a convertible bond? How does the convertibility feature affect the bond's price and interest rate?

7) What is a bond's current yield? How does the current yield differ from the yield to maturity and what determines how close the two values are?

9) What is a callable bond? How does the callability feature affect the bond's price and interest rate?

10) What types of risks should bondholders be aware of and how do these affect bond prices and yields?

11) Explain the different types of corporate bonds.