Which of the following is taxed on both dividends and profits?

The cost of debt can be determined using the yield-to-maturity and the bond rating approaches. If the bond rating approach is used, the:

a. coupon is the yield. b. yield is based on the interest coverage ratio. c. company is rated and the rating can be used to assess the credit default spread of the company's debt.

A bond

A. must be repaid over a stipulated period of time at regular intervals. B. may be defaulted without penalty. C. is the same as a stock. D. is a fixed asset. E. is a current liability.