Which of the Following Allows Congress to Create Legislation to Make

question 50

Multiple Choice

Which of the following allows Congress to create legislation to make needed changes without amending the Constitution?

• A)congressional elaboration
• B)executive privilege
• C)impoundment
• D)executive order

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Definitions:

Sinking Fund

A Sinking Fund is a fund established by an issuer of a bond to repay the principal amount of the bond at maturity, usually by setting aside funds over a period of time.

Protective Covenants

Clauses in a bond agreement that impose certain restrictions on the issuer to protect bondholders' interests, such as maintaining minimum financial ratios or limiting further debt issuance.

Indenture Agreement

A contract between a bond issuer and bondholders, specifying terms like interest rates, maturity date, and other conditions.

Term Structure

The relationship between interest rates or bond yields and different terms or maturities, often depicted in a curve.