answer 6 and 7 and 8 and 9Solution6 Calling a bond is an opt

answer 6 and 7 and 8 and 9

Solution

6)

Calling a bond is an option to issuer if the indenture has a provision for calling bonds. Bonds are usually called with a call premium. When interest rates are decreased, bond will be called to reissue those at a lower coupon rate.

Hence, correct option is (a) call feature.

 answer 6 and 7 and 8 and 9Solution6) Calling a bond is an option to issuer if the indenture has a provision for calling bonds. Bonds are usually called with a

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