Issuers of Bonds Are Most Likely to Call Them in When

question 69

Multiple Choice

Issuers of bonds are most likely to call them in when

• A) the prevailing rate of interest exceeds that stipulated on the bonds.
• B) when investor confidence goes down.
• C) the prevailing rate of interest is less than that stipulated on the bonds.
• D) when investor confidence goes up.
• E) when the government revises its capital gains tax law.