L319: Basics of Bonds

Who can issue a bond?

• Government

• Corporates

• Municipal Corporations

• All of the above

Which among the following is a fixed income instrument?

• Mutual Fund

• Equity Shares

• Bonds

• All of the above

ABC Inc. wants funds from public by way of bonds.

ABC Inc. will be called __________________ .

• Bond Holder

• Bond Issuer

• Lender

• All of the above

Person who subscribes to a bond as an investor is called ______________ .

• Bond Holder

• Bond Issuer

• Borrower

• All of the above

Face value of the bond means _____________ .

• Current Market Price

• Issue price of the bond

• Amount receivable at maturity

• Amount of interest every year

Coupon rate of the bond means

• interest rate on face value

• redemption rate

• rate of discount

• none of the above

A bond issue by a state government comes under the category of _______________ .

• Corporate Bonds

• Government Bonds

• Callable Bonds

• Puttable Bonds

At the time of maturity, what is paid back to the bond holder?

• Market Price

• Face Value

• Issue Price

• Any of the above