The advantages of obtaining long-term funds by issuing bonds,rather than issuing additional common stock,include which of the following?
A) Interest payments are tax deductible to the company,while dividends are not.
B) The risk of going bankrupt decreases.
C) Expansion is achieved without surrendering ownership control.
D) a.and c.
Correct Answer:
Verified
Q4: Megginson,Inc.issued a five-year corporate bond of $300,000
Q5: The price of a bond is equal
Q6: A bond issue with a face amount
Q7: Which of the following definitions describes a
Q8: A bond issue with a face amount
Q10: Serial bonds are:
A)bonds backed by collateral.
B)bonds that
Q11: Which of the following is not true
Q12: The mixture of liabilities and stockholders' equity
Q13: A bond issue with a face amount
Q14: Which of the following is not a
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