Question $1(1$ point$)$

Notes and Debentures are two types of unsecured debt.

True

False

Question $2(1$ point$)$

Debt issued under SEC Rule $144$A is less liquid than other privately issued debt.

True

False

Question $3(1$ point$)$

Secured debt is backed by collateral. Mortgage$-$backed bonds are a type of secured debt.

True

False

Question $4(1$ point$)$

Which type of debt has the lowest priority claim to a firm's assets?

Asset$-$backed bonds

Subordinated debentures

Mortgage$-$backed bonds

Senior Notes

Question $5(1$ point$)$

A firm will typically call a bond when the yield to maturity for the bond is higher than the bond's coupon

rate.

True

False