An agent of a bond issuer who handles the administrative aspects of a loan and ensures that the borrower complies with the terms of the bond indenture is called a:
A)registrar.
B)transfer agent.
C)trustee.
D)none of the above.

Question

Quizplus · Accepted Answer

A trustee is specifically designated to ensure that the terms of the bond indenture are met by the borrower. A registrar is responsible for maintaining records of bond ownership, while a transfer agent facilitates the transfer of ownership of bonds. Neither of these roles involve ensuring compliance with the bond indenture.

An Agent of a Bond Issuer Who Handles the Administrative