A U.S. firm issues Eurobonds in France. The Eurobonds

Question

Quizplus · Accepted Answer

Since the firm is issuing Eurobonds in France, it means that the bonds are denominated in euros, not francs. Option A is not correct.

Option B is correct because Eurobonds typically have a lower coupon rate than domestic bonds due to their global market and broader investor base.

Option C is not necessarily correct as Eurobonds can be issued in both registered and bearer form.

Option D is not correct because Eurobonds may have a lower tax rate on proceeds than a domestic issue, depending on the tax jurisdiction and treaty agreements.

A US Firm Issues Eurobonds in France