Busıness Fınance I Deneme Sınavı Sorusu #850856

Which one is true about bonds?


They can be issued by any firm.

An issuer  will pay the face value of a bond until maturiy.

Coupon rate of a bond determines the coupon(interest) payments.

Indenture is a contract which the issuer has to sign at the end of the maturity.

If the interest rate increases, the price of a bod increases.


Yanıt Açıklaması:

The coupon rate of a bond determines the coupon (interest) payments. Coupon payments are the periodic payments received by bondholders until the bond matures. The annual coupon payment is equal to the coupon rate times the par value of the bond.

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