Bonds that are subject to retirement at a stated dollar amount prior to maturity at the option of the issuer are called
A)early retirement bonds.
B)redeemable bonds.
C)options.
D)debentures.

Question

Quizplus · Accepted Answer

Redeemable bonds are those that can be retired or paid off at a specific price before their maturity date at the option of the issuer. This gives the issuer flexibility to refinance the debt if interest rates decline.

Bonds That Are Subject to Retirement at a Stated Dollar