A Deferred Call Provision Is Which One of the Following

question 107

Multiple Choice

A deferred call provision is which one of the following?

• A)requirement that a bond issuer pay the current market price, plus accrued interest, should the firm decide to call a bond
• B)ability of a bond issuer to delay repaying a bond until after the maturity date should the issuer so opt
• C)prohibition placed on an issuer which prevents that issuer from ever redeeming bonds prior to maturity
• D)prohibition which prevents bond issuers from redeeming callable bonds prior to a specified date
• E)requirement that a bond issuer pay a call premium which is equal to or greater than one year's coupon should that issuer decide to call a bond

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Definitions:

Investment Model

A theory in interpersonal relationships that examines how commitment, satisfaction, alternative quality, and investments predict relationship stability and quality.

Evolutionary Approach

An approach to psychology centered on evolutionary ideas such as adaptation, reproduction, and natural selection as the basis for explaining specific human behaviors.

Personality Factors

Traits or characteristics that consistently influence the way an individual behaves, feels, and thinks.

Aggressive Behavior

Actions intended to harm or intimidate others, driven by anger or hostility.