Bonds That Guarantee a Real Rate of Return Are Called

question 31

Multiple Choice

Bonds that guarantee a real rate of return are called

• A) consols
• B) zero-coupon bonds
• C) index-linked bonds
• D) guaranteed income contracts
• E) fixed income securities

---

Definitions:

Capital Fund

A reserve of capital that can be used for investment, growth, or to cover future liabilities or expenditures.

General Fund

The primary operating fund of a government, covering most common services.

Amortization

The gradual reduction of the cost of an intangible asset over its useful life or the process of spreading loan payments across multiple periods.

Unrestricted Contribution

A donation that can be used for any purpose by the recipient organization, without donor-imposed restrictions.