Which of the Following Best Describes a Bond That Is

question 67

Multiple Choice

Which of the following best describes a bond that is issued by a local entity and traded in a local market,but that may be purchased by foreigners?

• A)a domestic bond
• B)a foreign bond
• C)a Eurobond
• D)a global bond
• E)a corporate bond

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Definitions:

Maturity Date

The specific date on which the principal amount of a bond, loan, or other financial instrument is due to be paid in full.

Contract Rate

The interest rate specified in a contract, such as that in a loan or bond agreement.

Times Interest Earned Ratio

A financial metric that measures a company's ability to meet its interest obligations from its earnings before interest and taxes.

Income Statement

A financial statement that shows a company’s revenues, expenses, and profits over a specific period, typically a quarter or year.