1. If a bank is compiling lists of current stockholders and bondholders for the purpose of remitting dividend and interest payments, in which of the following roles is it acting?

1. Paying agent
2. Transfer agent
3. Corporate trustee
4. Registrar

1. Management, the board of directors and creditors are working to avoid a bankruptcy situation for a firm. If they believe the firm's problems are temporary, which of the following should they consider before entering into any short-term restructuring arrangement?

1. Whether existing management or a special trustee should be in charge during the restructuring
2. Whether the value to shareholders could be increased by selling the firm in pieces
3. Whether the long-term value of the firm will be impacted
4. Whether a formal or informal filing will be required

1. Increasing liquidity to adequate levels tends to have which effect on a company?

1. Increases collection float
2. Removes need to issue securities
3. lower financial leverage
4. Possible excess cash balances

1. A company has an agreement with a bondholder that prevents it from selling several of its coal-fired power plants. However, recent regulatory changes have made these plants less profitable and the value of the firm is falling. Which of the following is this agreement called?

1. Collateral trust
2. Lien
3. Indenture
4. Debenture