Question
Write down the answers in the order you would like to fill in the blanks by choosing the appropriate term from the following list: indenture,
Write down the answers in the order you would like to fill in the blanks by choosing the appropriate term from the following list: indenture, subordinated, bond, call provision, sinking fund, senior, debenture, preferred shares, dividends, assets, common shares.
a) A is an unsecured corporate debt, whereas a is secured by a mortgage on the corporate property.
b) If a lender ranks behind the firms general creditors in the event of default, the loan is said to be .
c) In many cases a firm is obliged to make regular contributions to a(n) , which is then used to repurchase bonds.
d) Debt may be extinguished before maturity through a giving the firm the right to pay a specific amount to retire the debt before the stated maturity date.
e) is the written agreement between the corporate debt issuer and the lender
f) represents equity of a corporation, but is different from common stock because it has preference over common stock in the payments of and in the of the corporation in the event of bankruptcy.
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