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What are Non-Convertible Bonds?

14. What are Non-Convertible Bonds?

1. The financial security cannot be redeemed early by the issuer except with the payment of a penalty.
2. Bonds can be redeemed or paid off by the issuer prior to the bonds' maturity date.
3. Fixed-income instruments, usually issued by high-rated companies in the form of a public issue to accumulate long-term capital appreciation.
4. The value of the assets of the Company or the value of the assets being disposed of, determined without regard to any liabilities associated with such assets.

Answer: C) Fixed-income instruments, usually issued by high-rated companies in the form of a public issue to accumulate long-term capital appreciation

Explanation:

Non-convertible bonds fall under the obligation classification. They can't be changed over into value or stocks. NCDs have a decent development date and the interest can be paid alongside the chief sum either month to month, quarterly, or every year relying upon the proper residency indicated. They benefit financial backers with their preeminent returns, liquidity, okay, and tax cuts when contrasted with of convertible bonds.