YAhmed

Dreary - it's correct. Call option on bond means you get to buy the bond at a cheaper price. If the rate is below the coupon, the bond should be traded at a premium. If you have a call option, you could buy it for a lower price.

AndrewUNH - Think of swaps as two bonds. The receiver swap holder buys a fixed paying bond and pays a float-rate bond in return.