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Which of the Following Statements About Debt Securities Is True

Question 36

Multiple Choice

Which of the following statements about debt securities is true?


A) They can be issued only if the power to do so appears in the articles of incorporation.
B) They are used to transfer an ownership interest in an organization.
C) They arise in the form of notes, debentures, or bonds.
D) They are similar to equity securities in that the terms do not exceed three years.

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