Which of the Following Is Not an Advantage of Issuing

question 23

Multiple Choice

Which of the following is not an advantage of issuing bonds instead of common stock?

• A)Stockholder control is not affected
• B)Earnings per share on common stock may be lower
• C)Tax savings result
• D)Each of these answer choices is an advantage.

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Definitions:

Call Reluctance

A salesperson's hesitation or fear of initiating contact with potential buyers, often due to fear of rejection or failure.

Prospect Aversion

The tendency of a potential buyer to avoid engagement with sales efforts or marketing materials.

Referral Cycle

The ongoing process of obtaining new customers by referrals from existing ones, creating a continual cycle of expanding business through word-of-mouth.

Center of Influence

An individual or entity that has a significant impact on the opinions, behaviors, or decisions of a target group, often used in marketing and sales strategies.