A Distinction Between Stocks and Bonds Is That

Multiple Choice

A distinction between stocks and bonds is that

A) bonds cannot be sold to anyone other than the company that issued it while stocks can be resold to anyone.
B) bonds can be traded many times in the bond market, while stocks are non-transferable.
C) stocks represent ownership claims to the company and bonds do not.
D) bonds must be held for a fixed number of years whereas stocks can be bought and sold at any time.
E) although the return on a bond is determined by the forces of supply and demand, the return on a stock is set by the stock exchange.