Bonds: It is a type of a promise or a contract to pay in the future with certain limitations and conditions specified at the time of issuing the bond. Financial Crisis: When there is an excessive loss in the nominal value of assets then the situation is termed as financial crisis. The major financial crisis after the Great Depression of 1920 occurred in 2008.

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Chapter 32, Problem 5P

To determine

Concept Introduction:

Bonds: It is a type of a promise or a contract to pay in the future with certain limitations and conditions specified at the time of issuing the bond.

Financial Crisis: When there is an excessive loss in the nominal value of assets then the situation is termed as financial crisis. The major financial crisis after the Great Depression of 1920 occurred in 2008.

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