Which of the following types of bonds has specific assets pledged to guarantee repayment?
A)Debenture bond.
B)Callable bond.
C)Secured bond.
D)Convertible bond.

Question

Quizplus · Accepted Answer

A secured bond has specific assets pledged to guarantee repayment, which can be seized by the bondholders if the issuer defaults on the bond. Debenture bonds do not have specific assets pledged, callable bonds can be redeemed by the issuer at any time, and convertible bonds can be converted into a certain number of shares of stock.

Which of the Following Types of Bonds Has Specific Assets