Statement I.Bondholders are owners of a corporation.
Statement II.Common stockholders have voting control of a corporation.

Question

Quizplus · Accepted Answer

Bondholders are not owners of a corporation, but rather creditors who lend money to the corporation. Common stockholders are the owners of the corporation, but voting control can also be granted to preferred stockholders or through other mechanisms such as a board of directors. Therefore, statement I is false and statement II is true.

Statement I.Bondholders Are Owners of a Corporation