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​If Interest Rates Rise, a Firm May Retire a Bond

Question 9

Multiple Choice

​If interest rates rise, a firm may retire a bond issue by
1) calling it
2) repurchasing it
3) issuing new bonds and redeeming the old bonds


A) ​1 and 2
B) 1 and 3
C) ​2 and 3
D) ​only 2

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