What Is the Extent to Which an Organization Conforms to Local,state,federal,and

question 27

Multiple Choice

What is the extent to which an organization conforms to local,state,federal,and international laws known as?

• A) Government agency support
• B) Social responsibility
• C) Legal compliance
• D) Political action
• E) Free-trade

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Definitions:

S&P's BBB

A credit rating by Standard & Poor's that indicates an investment grade with moderate credit risk.

Bond Ratings

A system used to assess the credit quality and risk level of bonds, typically assigned by rating agencies.

Sinking Fund Provisions

A requirement for a debtor to set aside funds at regular intervals to repay a bond or loan before its maturity in order to ensure the safety of the investment for creditors.

Bond Issue

The process by which a government or corporation raises funds by issuing bonds to investors, who lend them money in exchange for periodic interest payments and the return of principal at maturity.