Which One of the Following Statements Concerning Debt Is Correct

question 342

Multiple Choice

Which one of the following statements concerning debt is correct?

• A) The vast majority of bonds issued are sold in the public markets.
• B) Bond issues avoid the registration required on equity issues.
• C) Interest rates on private placements tend to be higher than those on similar public issues.
• D) A prospectus is required for a new equity issue, but not for a bond issue.
• E) Private placement debt tends to be less flexible than public debt.

---

Definitions:

Sleep

A naturally recurring state of mind and body characterized by altered consciousness, relatively inhibited sensory activity, reduced muscle activity, and inhibition of nearly all voluntary muscles during rapid eye movement (REM) stages.

Alertness

The state of being quick to notice and respond to potential dangers or opportunities.

School Start Time

The designated time at which school classes begin for the day, which can significantly impact students' sleep, health, and learning.

Risky Activity

Engagements or behaviors that involve a significant likelihood of suffering harm or loss.