Which of the Following Statements Is False

question 30

Multiple Choice

Which of the following statements is false?

• A) Almost all bonds that are issued today are registered bonds.
• B) The trust company represents the bondholders and makes sure that the terms of the indenture are enforced.
• C) For private placements, the prospectus must include an indenture, a formal contract between the bond issuer and a trust company.
• D) In the case of default, the trust company represents the bondholders' interests.

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