Bonds that give the issuer an option of retiring them before they mature are:
A) Registered bonds.
B) Sinking fund bonds.
C) Serial bonds.
D) Callable bonds.
E) Debentures.

Question

Quizplus · Accepted Answer

Callable bonds give the issuer the option to retire them before they mature. Registered bonds are simply bonds that are registered in the owner's name. Sinking fund bonds require the issuer to set aside money to retire the bonds before they mature. Serial bonds require the issuer to retire a portion of the bonds at regular intervals before they mature. Debentures are unsecured bonds that are backed only by the issuer's creditworthiness.

Bonds That Give the Issuer an Option of Retiring Them