Question on: JAMB Commerce - 2014
Which of the following attracts only interest but leaves the capital unpaid
A
a long-term loan
B
a development bond
C
a redeemable bond
D
an irredeemable bond
Ask EduPadi AI for a detailed answer
Correct Option: C
An irredeemable bond is a type of bond that does not have a maturity date. This means the principal (capital) is never repaid. Instead, the issuer pays interest to the bondholder indefinitely.
Add your answer
Please share this, thanks!
No responses