To the corporation, bonds are riskier than stocks because
A. interest rates fluctuate.
B. bond interest requires that firms make a fixed payment.
C. investors prefer stocks to bonds.
D. speculators manipulate bonds more than stocks.
Answer: B
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Suppose the adult population of a country is 100 million. Of these adults, 70 million are employed and 15 million are unemployed. The labor force of this country is _____
a. 170 million b. 115 million c. 85 million d. 30 million
In Figure 3.1, if demand is considered perfectly inelastic, then the appropriate figure is?
a. Figure 1
B. Figure 2
c. Figure 3
d. Figure 4
If a negative externality is associated with burning firewood:
A. less than the efficient amount of firewood for burning will be used each year. B. the marginal social cost of burning firewood falls short of its price. C. the marginal social cost of burning firewood exceeds the price of burning firewood. D. the marginal social cost of burning firewood is exactly equal to its price.
Refer to the data. Suppose that this bank currently has $6 million in excess reserves and that customers of this bank collectively write checks for cash at the bank in the amount of $6 million. As a result, the bank's excess reserves diminish to:
Answer the question on the basis of the following balance sheet for the First National Bank of Bunco. All figures are in millions.
A. $0.
B. $6 million.
C. $0.72 million.
D. $0.84 million.