In terms of a bond, which of the following is TRUE? O Bonds are sometimes called "fixed-income securities because they pay a set amount (fixed cash flow) on random future dates. O If you buy a bond, you are buying a promised current cash flow. The bond interest is based on the coupon rate set when the bond is designed and issued. A bond is a short-term debt instrument by which a borrower of funds agrees to pay back the funds (the principal) with interest on specific dates in the future