The following entities issue bonds to engage in long-term borrowing EXCEPT:Group of answer choicescorporations.Philippine national governmentUS federal governmentindividuals.
Question
The following entities issue bonds to engage in long-term borrowing EXCEPT:Group of answer choicescorporations.Philippine national governmentUS federal governmentindividuals.
Solution
Individuals do not issue bonds to engage in long-term borrowing. Corporations, the Philippine national government, and the US federal government do.
Similar Questions
long–term bonds issued by private corporations
Multiple Choice QuestionWhat is a bond?Multiple choice question.Part of a firm's profits that the firm may distribute to stockholdersShares of ownership in a companyDebt instruments that larger companies sell to raise long-term fundsSomething an individual buys that makes him or her liable for the company's debt
Corporations choose to issue bonds for any of the following reasons, EXCEPTMultiple Choiceto improve financial leverage.to finance a corporations ongoing activities.to reduce the taxes to be paid to federal and provincial governments.if it is difficult to sell stocks.as an investment for their earnings.
Bonds are: A. Short-term debt securities B. Long-term debt securities C. Equity investments D. Physical assets
A company issuing corporate bonds is utilizing which source of finance?Answer areaa) Equity financingd) Internal financingb) Short-term financingc) Debt financing
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