1. Which of the following is an example of a secured bond:

a.) subordinated debenture

b.) mortgage bond

c.) debenture

d.) refunded bond

2. Conversion value equals:

a.) call premium times the stock price

b. )stock price/conversion ratio

c.) conversion ratio/stock price

d.) conversion ratio times the stock price

3. A convertible bond is always worth (remember to choose the best answer):

a.) the convertible premium

b.) whichever is greater: the conversion value or straight bond value

c.) the conversion value

d.) the straight debt value

4. A putable bond can best be described as:

a.) a secured mortgage bond

b.) a junk bond that is refundable

c.) a bond that the issuer can retire early

d.) a bond that the investor can force to be retired early