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accounting question Starter 15-1 (book/static) Match the following bond terms by selecting the term that best describes each phrase. a. Principal is payable to the

accounting question

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Starter 15-1 (book/static) Match the following bond terms by selecting the term that best describes each phrase. a. Principal is payable to the person who has possession of the bonds b. When the borrower must pay the principal amount to the lender Matures in instalments over a period of time Unsecured bond backed only by the good faith of the issuer Contract agreed to between the issuer of the bonds and the purchaser The contractual rate of interest that the issuer must pay the bondholders (another name for contract interest rate) g Bearer bonds Assets of the issuer are provided as collateral Bond indenture Contract interest rate May be changed into the company's common shares Convertible bonds Interest rate that determines the amount of cash interest the borrower Coupon rate pays and the investor receives each year Debentures The amount the company borrows from the bondholder Maturity date turity value red b Denial bonds

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