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    4. Economy and Banking and Finance Static Concepts
    5. What is the term used for the practice of replacing relatively high cost debt with that of lower cos

    Question

    What is the term used for the practice of replacing

    relatively high cost debt with that of lower cost borrowing to take advantage of falling interest rates?
    A Derivative Correct Answer Incorrect Answer
    B Credit Risk management Correct Answer Incorrect Answer
    C Debt swap Correct Answer Incorrect Answer
    D Credit Enhancement Correct Answer Incorrect Answer
    E None of these Correct Answer Incorrect Answer

    Solution

    The correct answer is C

    Practice Next
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