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Which of the Below Statements Is FALSE

Question 8

Multiple Choice

Which of the below statements is FALSE?


A) A guaranteed bond is an obligation guaranteed by another entity.
B) Refunding is much more comprehensive than call protection because it prohibits the early redemption of the bonds for any reason
C) Most corporate issues have a call provision allowing the issuer an option to buy back all or part of the issue prior to maturity.
D) A callable corporate bonds is generally callable at a premium above par with the amount of the premium declining as the bond approaches maturity.

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