Previous Page Next Page Page 13 of 26 Question 25 (2 points) Which of the following is (are) NOT true? a) An issuers failure to make required interest or principal payments on outstanding bonds can result in bankruptcy. Ob) Zero coupon bonds typically sell at a deep discount initially and pay very low levels of interest Oc) All are true. Od) Bond covenants (likeJimiting dividends or requiring specific levels of working capital) are put in place to protect investors. e) A sinking fund is an account managed by a trustee for the sole purpose of redeeming (paying off or retiring) bonds prior to their maturity. Question 26 (2 points)