For a corporation, an important advantage of selling stocks instead of bonds is that:
a. in the case of a bond, the corporation has to pay a fixed rate of interest, while in the case of a stock, the corporation is not liable to pay any interest.
b. in the case of a bond, the corporation has to pay a fixed rate of interest, while in the case of a stock, the corporation earns a fixed rate of interest.
c. a bond can generate funds for the corporation only once, while a stock generates funds for the corporation each time it is resold.
d. it is difficult to sell a bond because people perceive that a bond is risky, while it is easier to sell a stock because people perceive that it is safe to invest in stock.
a
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A) cost; price; supply B) cost; demand; price C) demand; price; cost D) supply; cost; price
On a world scale, how populous is the U.S. economy?
a. first b. second c. third d. fourth e. fifth