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Which of the Following Is True with Respect to Bond

Question 55

Multiple Choice

Which of the following is true with respect to bond retirement?


A) If interest rates increase, the issuer can retire bonds at a gain by buying them on the open market.
B) Gains and losses on bond retirements may be classified as ordinary gains and losses or unusual gains and losses.
C) On debt retirement all related accounts should be update.
D) All of these answers are correct.

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