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A callable bond (Redeemable Bond) is a bond that can be redeemed by the issuer prior to its maturity. If interest rates have declined since the company first issued the bond, the company is likely to want to refinance this debt at a lower rate of interest. In this case, the company calls its current bonds and reissues them at a lower rate of interest. Buying a callable bond is like buying a simple bond and a call option of the same value.
Read the directions carefully and answer the following questions.
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(1) Punishment
(2) Arrest
(3) Crime
(4) Judgment
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