Free SOFA-CFE Exam Braindumps
Certified Financial iner Questions 86–90 (page: 19)

Updated On: 10-Feb-2026

What are corporate obligations considered having a higher default risk and a lower credit rating?

  1. corporate bonds
  2. municipal bonds
  3. junk bonds
  4. taxation bonds

Answer(s): C



The bonds, which are backed by the full faith and credit of the issuing body is called:

  1. General obligation bonds
  2. loan-backed bonds
  3. structured bonds
  4. revenue bonds

Answer(s): A



Insurance companies sometimes issue instruments that have the characteristics of both debt and equity; these instruments are commonly referred to as:

  1. General notes
  2. Domiciliary notes
  3. Long-term bond notes
  4. surplus notes

Answer(s): D



Which bonds have interest payment coupons attached, which are presented to the issuer to obtain payments of interest?

  1. General
  2. Discounted
  3. Bearer
  4. Nominal

Answer(s): C



If the effective yield is lower than the nominal yield, the buyer will pay a:

  1. premium
  2. credit
  3. debt
  4. fee

Answer(s): A



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