Question

Name of a Bond that either never matures or have a very long maturity of 100...

Name of a Bond that either never matures or have a very long maturity of 100 yrs or more is:

a.

Zero Coupon Bond

b.

Console

d.

Serial Bond

e.

High Yild Bond

f.

Non-Callable Bond

Homework Answers

Answer #1

Answer is b. Console.

I will explain each option.

a. Zero Coupon: Its a bond that is issued at deep discount. and paid at face value on maturity and they don't pay interest

b. Console: this is bond that dose not matures and pays fixed interest

d. Serial Bond: Its a bond which pays partial amounts of maturity value in a fixed series of intervals.

e. High Yield Bond: Are those bonds which gives high return and they have high risk factor.

f. Non-Callable Bond: this is a bond which cant be recalled till their maturity.

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