An Unsecured Bond, Backed Only by the Well-Respected Name of the Organization

question 128

Multiple Choice

An unsecured bond, backed only by the well-respected name of the organization, is called a ________ bond.

• A) mortgage
• B) leveraged
• C) debenture
• D) convertible

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Definitions:

Normative Influence

Going along with the crowd in order to be liked and accepted.

Private Acceptance

The genuine internalization and acceptance of an idea or belief as true, often as a result of social influence.

Labeling Technique

A persuasion strategy that assigns a label to an individual and then requests a favor consistent with that label, influencing behavior.

Commitment and Consistency

The psychological principle that suggests individuals strive to be consistent in their beliefs and behaviors, especially once a commitment is made.