I. Define the following:

a. Bond:

b. Par Value:

c. Maturity:

d. Call Feature:

e. Convertible Bond:

f. Yield to Maturity:

II. Identify Different Types of Bonds

a. Treasury:

b. Municipal:

c. Federal Agency Bonds:

d. Corporate:

e. High Yield (Junk) Bonds:

III. Explain What Affects the Return from Investing in Bonds:

IV. Describe Why Some Bonds are Risky:

a. Default Risk:

b. Risk Premium:

c. Impact of Economic Conditions

V. Identify Common Bond Investment Strategies:

a. Interest Rate Strategy:

b. Passive Strategy:

c. Maturity Matching