Multiple Choice
The purpose of a sinking fund is to:
A) reduce the par value of stock over time.
B) take advantage of the tax break on preferred stock.
C) periodically retire debt prior to final maturity.
D) allow risky corporations to avoid bankruptcy.
Correct Answer:

Verified
Correct Answer:
Verified
Related Questions
Q91: Historically,internally generated cash covers less than half
Q92: A company is about to issue 1,000
Q93: Privately placed debt must be held until
Q94: The price at which new shares are
Q95: A warrant grants its holder the right
Q97: One common reason for issuing two distinct
Q98: A corporation's net worth is composed of
Q99: The gap between internally generated cash and
Q100: The term "senior debt" refers only to
Q101: Earnings this year for Plasti-tech Inc.were $200,000.It