What does the "tax-free" tag on a PSU bond indicate?

"Interest income from these bonds is 100% tax-exempt" "Capital gains from selling the bond before maturity are tax-free" "The bond's face value is exempt from wealth tax" "Dividends received from the bond are tax-free"

What does a AAA credit rating signify?

"The borrower has a high risk of default" "The borrower has a moderate risk of default" "The borrower has a low risk of default" "The credit rating is not indicative of the borrower's creditworthiness"

What is the key difference between a secured debt and an unsecured debt?

"Secured debt is backed by collateral, while unsecured debt is not" "Secured debt has a higher interest rate than unsecured debt" "Secured debt is only available to corporations, while unsecured debt is available to individuals" "There is no significant difference between secured and unsecured debt"

Where does senior secured debt rank in a company's capital structure?

"At the bottom" "In the middle" "At the top" "The ranking of senior secured debt varies depending on the company"

What is the face value of a bond?

"The current market price of the bond" "The price at which the bond will be redeemed at maturity" "The annual interest payment on the bond" "The original price at which the bond was issued"

What does the Yield to Maturity (YTM) of a bond represent?

"The annual interest rate paid on the bond" "The total return expected if the bond is held until maturity" "The risk of default associated with the bond" "The price at which the bond can be sold in the secondary market"

What is accrued interest in the context of bonds?

"The interest earned on the bond since the last coupon payment" "The interest that will be paid on the next coupon date" "The total interest earned on the bond over its lifetime" "The interest that is forfeited if the bond is sold before maturity"

What is the "dirty price" of a bond?

"The bond's price excluding accrued interest" "The bond's price including accrued interest" "The bond's face value" "The bond's yield to maturity"