Bonds that can be retired by the issuer at a stated dollar amount before they mature are known as
A) term bonds.
B) redeemable bonds.
C) debentures.
D) AAA bonds.

Question

Quizplus · Accepted Answer

Redeemable bonds are those that the issuer can retire before they reach their maturity date, typically at a stated dollar amount. This feature provides the issuer with flexibility to refinance the debt if interest rates decline or if they wish to reduce their debt burden.

Bonds That Can Be Retired by the Issuer at a Stated