The trustee's job as agent for the bondholders is to:
A) represent the bondholders if the company defaults, manage any sinking fund, and see that the indenture terms are obeyed.
B) advise the company on debt disposition, manage any sinking fund, and minimize indenture covenants.
C) represent the bondholders if the company defaults, call the bond issue and minimize indenture covenants.
D) advise the company on debt disposition, call the bond issue and see that the terms of the indenture are obeyed.

Question

Quizplus · Accepted Answer

The trustee's primary responsibilities include representing the bondholders in case of default, managing any sinking funds, and ensuring that the terms of the indenture are followed. This role is crucial for protecting the interests of the bondholders.

The Trustee's Job as Agent for the Bondholders Is To