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Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-Paying mortgage points to get a lower rate of interest makes more sense if you expect to live in a home for a [longer | shorter] period of time.
Callable Bond
A type of bond that gives the issuer the right to repay the bond before the maturity date.
Interest Rate
The percentage of a sum of money charged for its use, often expressed annually.
Convertible Bonds
Corporate bonds that have a provision that they may be converted to a designated number of shares or to a designated value of the corporation’s stock.
Face Value
The dollar amount written on a note; it is the same as the amount borrowed, or the principal. With regard to corporate and government bonds, the amount that will be paid to the holder when a bond is redeemed at maturity.
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