The two most common instruments used to provide the capital structure of a corporation are stocks and bonds.

Question

Quizplus · Accepted Answer

Stocks and bonds are indeed the most commonly used instruments to provide the capital structure of a corporation. Stocks represent ownership in the company while bonds represent debt which needs to be paid back with interest. Other instruments such as preferred stock and convertible bonds may also be used but are less common.

The Two Most Common Instruments Used to Provide the Capital