The Most Common Type of Corporate Bond, Except in the Railroad

question 105

Multiple Choice

The most common type of corporate bond, except in the railroad and public utility industries, that carries no special collateral and the borrower issues it on the general credit of the business is called a

• A)sinking fund bond.
• B)serial funded bond.
• C)debenture bond.
• D)convertible bond.
• E)zero coupon bond.

---

Definitions:

Staff Time

The amount of working hours dedicated by employees towards their job tasks.

Audit Expenses

The examination and verification of a company's financial and operational activities, specifically focusing on its expenses.

Accurate and Up-To-Date Records

Detailed, correct, and current documentation of information, crucial in healthcare, legal matters, and business to ensure validity and compliance.

Double-Entry Bookkeeping System

A financial recording system where each transaction is recorded in two different accounts as opposite entries, one as a debit and the other as a credit, to keep the balance of the accounting equation intact.