All things equal, analysts prefer companies with low, rather than high, PEG ratios

The ability-to-bear criterion is considered superior when the purpose of cost allocation is motivation

Indicate whether this statement is true or false.

Selling the bonds at a premium has the effect of

a. raising the effective interest rate above the stated interest rate b. attracting investors that are willing to pay a lower rate of interest than on similar bonds c. causing the interest expense to be higher than the bond interest paid d. causing the interest expense to be lower than the bond interest paid