What Term Is Used to Describe an Account That a Bond

question 34

Multiple Choice

What term is used to describe an account that a bond trustee manages for the sole purpose of redeeming bonds early?

• A)call account
• B)sinking fund
• C)premium fund
• D)registered account
• E)bearer account

---

Definitions:

Executory

A term applied to a contract whose terms have not all been fully performed.

Tutor

A tutor is an individual who provides one-on-one guidance and instruction to a student or learner, often in academic subjects or skills.

Paid

A status indicating that a financial obligation or debt has been fulfilled.

Voidable

Describes a legal agreement that may be declared invalid by one of the parties due to specific conditions such as fraud, coercion, or incapacity.