TeachMeFinance.com - explain Classified bonds
Classified bonds -- An issue of bonds is sometimes divided
into two or more classes; for instance, into class A, class B,
etc., which classifications are usually abbreviated into A
bonds, B bonds, etc. The A bonds may be entitled to interest
at or up to a specified rate before interest is paid on the B
bonds ; or the classification may be for the purpose of designating
bonds of one kind which bear different dates of issue
and likewise mature at different dates.
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