Enter the letter of the description A through H that best fits each term 1 through 8.
Fundamental Accounting Principles, 7th Ed Larson Wild Chiappetta
ANSWER KEY QS 14-1
QS 14-1 Enter the letter of the description A through H that best fits each term 1 through 8.
A. Records and tracks the bondholders’ names.
B. Is unsecured; backed only by the issuer’s credit standing.
C. Has varying maturity dates for amounts owed.
D. Identifies rights and responsibilities of the issuer and the bondholders.
E. Can be exchanged for shares of the issuer’s stock.
F. Is unregistered; interest is paid to whoever possesses them.
G. Maintains a separate asset account from which bondholders are paid at maturity.
H. Pledges specific assets of the issuer as collateral.
1. _______ Debenture 5. _______ Sinking fund bond
2. _______ Bond indenture 6. _______ Convertible bond
3. _______ Bearer bond 7. _______ Secured bond
4. _______ Registered bond 8. _______ Serial bond