Multiple Choice
The Third State Bank of Denton has decided to issue stock through a trust company and borrow the funds from the trust company.This stock pays a fixed dividend and because of the way the stock has been issued it is tax deductible.What way of meeting their capital needs in the bank taking?
A) Issuing common stock
B) Issuing preferred stock
C) Issuing subordinated notes and debentures
D) Selling assets and leasing facilities
E) Swapping stock for debt instruments
Correct Answer:
Verified
Correct Answer:
Verified
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