Which of the Following Is NOT a Characteristic of Long-Term

question 72

Multiple Choice

Which of the following is NOT a characteristic of long-term debt?

• A) Interest paid to bondholders is a tax-deductible expense to the firm.
• B) The firm is not legally required to pay interest to bondholders.
• C) It usually has a specific maturity.
• D) Its holders have a fixed claim on the firm's assets in the event of bankruptcy.

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Definitions:

Less Responsive

Describes a state or condition in which there is a diminished or weaker reaction to stimuli.

Intestinal Lining

The innermost layer of the intestines, responsible for nutrient absorption and barrier protection against harmful pathogens and substances.

Fecal Impactions

A severe form of constipation where hard, dry masses of stool collect in the rectum and cannot be expelled.

Colon

A major part of the large intestine, responsible for absorbing water and electrolytes from partially digested food and forming and storing feces.