The contract between the bond issuer and the bondholders, which identifies the rights and obligations of the parties, is called a(n):
A) Debenture.
B) Bond indenture.
C) Mortgage.
D) Installment note.
E) Mortgage contract.

Question

Quizplus · Accepted Answer

A bond indenture is a legal document that outlines the terms and conditions of a bond issue, including the rights and responsibilities of the bond issuer and the bondholders. It serves as a contract between the two parties, and is typically prepared by the bond issuer's legal counsel.

The Contract Between the Bond Issuer and the Bondholders, Which