Income bonds are considered as safe as debentures because they pay higher rates of interest.

Name: Income bonds are considered as safe as debentures because they pay higher rates of interest.
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Question

Quizplus · Accepted Answer

The statement is false. The safety of a bond depends on various factors such as the issuer's creditworthiness, market conditions, and economic factors. Income bonds may offer higher rates of interest, but they are not necessarily safer than debentures.

Income Bonds Are Considered as Safe as Debentures Because They