Junk Bonds Are Those Bonds with a Credit Rating Of

question 108

Multiple Choice

Junk bonds are those bonds with a credit rating of:

• A)BB and lower.
• B)B and lower.
• C)BBB and lower.
• D)none of these.

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Definitions:

Parol Evidence Rule

a legal principle that prevents the parties of a written contract from presenting extrinsic evidence of terms of the agreement that contradict, modify, or vary contractual terms.

Main Purpose

The primary objective or aim intended to be achieved by something or someone.

Collateral Contract

A secondary agreement made in addition to a primary contract, which induces a party to enter into the primary contract.

Leading Object Rule

A legal principle in contract law used to determine whether a promise is enforceable under the Statute of Frauds.