The type of bond with an embedded option that would most likely sell at a lower price
Question:
The type of bond with an embedded option that would most likely sell at a lower price than an otherwise similar bond without the embedded option is a:
A. Putable bond.
B. Callable bond.
C. Convertible bond.
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B is correct The call provision is an option that benefits the issuer Because of this cal...View the full answer
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