WorksheetsChap 18 voc test
Total questions: 19
Worksheet time: 10mins
Long-term debt securities issued by government agencies or corporations
call feature
call risk
bonds
corporate bonds
A bond feature that gives the bond issuer the option of buying back the bond from investors at some point
bonds
call risk
call feature
corporate bond
The risk that a bond will be called
call risk
call feature
bond
corporate bonds
A bond with a convertible feature
bond
call risk
convertible bond
corporate bond
A bond feature that gives shareholders the option of converting the bond to a fixed number of shares of common stock
convertible bond
bond
call feature
convertible feature
Long-term debt securities issued by large firms
corporate bonds
bonds
call feature
call risk
Interest payments on a bond
coupon payment
bond
call risk
call feature
The chance for financial loss due to a bond not being repaid
call risk
bond
default risk
corporate bond
The amount of the bond, also called par value
face value
call risk
call feature
default risk
Long-term debt securities issued or guaranteed by federal government agencies or government-sponsored entities (GSEs)
Federal agency bonds
corporate bonds
bonds
call risk
Higher-risk bonds that must pay higher returns to investors
high-yield bonds/junk bonds
face value
default risk
call risk
The risk that a bond's price will fall when market rates of interest increase
interest rate risk
face value
call risk
bonds
The company, or government agency, that sells a bond
issuer
bonds
call risk
call feature
The specific date in the future when the bond will be repaid
call risk
call feature
maturity date
issuer
Long-term debt securities issued by state and local government agencies
municipal bonds (munis)
risk premium
issuer
maturity date
A larger percentage return required by investors to buy riskier bonds
risk premium
maturity date
issuer
Treasury bonds
Mortgages issued to high-risk borrowers
bonds
issuer
maturity date
subprime mortgages
Long-term debt securities issued by the U.S. Treasury
Treasury bonds
bonds
risk premium
issuer
The annual return from holding a bond until its maturity date
yield to maturity
maturity date
bonds
risk premium
