Question
True or False a. A partially amortized bond has a fixed payment schedule that reduces the bonds outstanding principal amount to zero at maturity? b.
True or False
a. A partially amortized bond has a fixed payment schedule that reduces the bonds outstanding principal amount to zero at maturity?
b. If you thought interest rates were going to increase it would be best to purchase a fixedrate bond?
c. Bonds with step-up coupons incentive the issuer to call the bond before the coupon rate increases to avoid paying a higher interest expense?
d. Zero coupon bonds pay a fixed coupon annually?
e. If you're worried about inflation, you would purchase TIPS?
f. When an issuer sells callable bonds with an American-style call, they have the right to call the bond only once on the call date?
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