Which of the following statements regarding capital market securities is true?

• A zero-coupon bond pays no interest.

• A callable bond gives the bondholders the right to call in or receive immediate repayment on the bond issue.

• Subordinated debentures are secured by specific collateral.

• A mortgage bond should carry a lower interest rate than a debenture sold by the same issuer.

• The claims of the firms debtholders are junior to the claims of the preferred stockholders.