Bonds are least likely to be called if
A) they are selling at a substantial discount.
B) if they do not mature for at least 5 years.
C) they are selling at a substantial premium.
D) the price is close to par value.

Question

Quizplus · Accepted Answer

Bonds are least likely to be called if they are selling at a substantial discount because the issuer would have to pay more than the current market price to call them, which is not financially advantageous.

Bonds Are Least Likely to Be Called If