Vidyalelo
Management · Q277

International Finance and Treasury

Graduate and Post Graduate · Management · question 277

Q277

Type of bond in which coupon payment is mailed registered bondholders and owner is recorded by issuing company is classified as

A.
unregistered bonds
B.
indenture bonds
C.
trustee bonds
D.
registered bonds
Answer

Answer: Option D

Solution

Answer: Option D
Solution:
Type of bond in which coupon payment is mailed registered bondholders and owner is recorded by issuing company is classified as registered bonds. A registered bond is a bond which has its owner registered with the bond's issuer. The owner's name and contact information is recorded and kept on file with the company, allowing it to pay the bond's coupon payment to the appropriate person.