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Which of the Following Is True Regarding Bonds

Question 14

Multiple Choice

Which of the following is true regarding bonds?


A) ​Other things equal, bondholders have greater financial security than stockholders.
B) ​The possibility of a bond's value increasing greatly is limited compared to stocks.
C) ​The legal obligation to bondholders is of higher priority than that of stockholders.
D) ​Higher market interest rates represent a risk to bondholders.
E) ​all of the above

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