Task: Fill in the blanks by choosing the appropriate term from the following list:
lease, funded, floating-rate, eurobond, convertible, subordinated, call, sinking fund, prime rate,private placement, public issue, senior, unfunded, eurodollar rate, warrant, debentures, term loan.
1) Debt maturing in more than 1 year is often called ____ debt.
2) An issue of bonds that is sold simultaneously in several countries is traditionally called a(n) ________.
3) If a lender ranks behind the firm's general creditors in the event of default, the loan is said to be _
4) In many cases a firm is obliged to make regular contributions to a(n) _________, which is then used to repurchase bonds.
5) Most bonds give the firm the right to repurchase or _________ the bonds at specified prices.
6) The benchmark interest rate that banks charge to their customers with good to excellent credit is generally termed the _________.
7) The interest rate on bank loans is often tied to short-term interest rates. These loans are usually called _________ loans.
8) Where there is a(n) _______, securities are sold directly to a small group of institutional investors. These securities cannot be resold to individual investors. In the case of a(n)_________, debt can be freely bought and sold by individual investors.
9) A long-term rental agreement is called a(n) ______.
10) A(n) _________ bond can be exchanged for shares of the issuing corporation.
11) A(n) ________ gives its owner the right to buy shares in the issuing company at a predetermined price.