financial final

A bond secured by real estate

Bonds that can exchanged for common stock

Bonds that are unsecured

Bonds that the issuer can buy back before maturity

To be classified as a current liability, a debt must be expected to be paid within...

• 1 year

• the operating cycle

• 1 year or the operating cycle, whichever is shorter

• 1 year or the operating cycle, whichever is longer

Employer payroll taxes do not include

• federal unemployment taxes

• state unemployment taxes

• federal income taxes

• FICA taxes

The interest rate on a bond is the market rate of interest at the time the bond is issued

• True

• False

Convertible bonds are also known as debenture bonds

• True

• False

The market interest rate is the rate investors demand for loaning funds

• True

• False

At maturity, the investor will receive the principal and the accrued interest for the bond term on the bond investment

• True

• False