Which of the Following Statements Is Incorrect

Multiple Choice

Which of the following statements is incorrect?

A) Companies may take advantage of structural changes (e.g., Marriott) to evade the constraints of protective covenants.
B) Bonds with protective covenants sell at a higher price than otherwise equivalent bonds without such protection for their investors.
C) Protective covenants are offered for the benefit of common stockholders.
D) Protective covenants are offered for the benefit of bondholders.