If a company anticipates a substantial decline in interest rates in the future, which of the following is it likely to include in a bond?

Name: If a company anticipates a substantial decline in interest rates in the future, which of the following is it likely to include in a bond?
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Question

Quizplus · Accepted Answer

A call feature allows the issuer to repurchase bonds before their maturity date, which is advantageous if interest rates decline, as it enables the company to refinance the debt at a lower rate.

If a Company Anticipates a Substantial Decline in Interest Rates