Bonds frequently used by schools and municipalities that mature in instalments are called
A) convertible bonds.
B) revenue bonds.
C) serial bonds.
D) callable bonds.

Question

Quizplus · Accepted Answer

Serial bonds are bonds that mature in instalments, commonly used by schools and municipalities. Convertible bonds are bonds that can be converted into the issuing company's common stock; revenue bonds are issued by municipalities for specific projects and are paid back from the revenue generated by those projects; callable bonds allow the issuer to redeem the bonds before maturity.

Bonds Frequently Used by Schools and Municipalities That Mature in Instalments