The "Call" Provision on Some Bonds Allows

question 126

Multiple Choice

The "call" provision on some bonds allows

• A) the bondholder to redeem the bond earlier than maturity, but usually involves a call premium.
• B) the corporation to request additional capital contributions from the bondholder.
• C) the corporation to redeem the bonds earlier than maturity but usually for a premium over the par value.
• D) the bondholder to convert the bond into preferred stock.

---

Definitions:

Consensus Behaviour

Actions taken collectively by a group based on widespread agreement or harmony of opinion within the group.

Distinctiveness

The quality of being distinctly different or unique, often used in the context of individual or group identity and characteristics.

Consistency

The quality of achieving a level of performance or behavior that does not vary greatly in quality over time.

Dispositional Explanations

Attributions of behavior to stable internal factors, including personality traits and beliefs.