A Sinking Fund Is Useful to a Corporation Because

question 52

Multiple Choice

A sinking fund is useful to a corporation because:

• A)the corporation does not have to worry about paying the bondholders.
• B)it provides the corporation with the option to buy the bonds back at the lower of face value or market price.
• C)the payments to the sinking fund are not necessary when the firm is in financial difficulty.
• D)they are simple and easy to monitor.

---

Definitions:

Cellphone Screen

The display area of a mobile phone where information, icons, and media are visually presented to the user.

Data Security

The practices, policies, and technologies used to protect digital information from unauthorized access, corruption, or theft.

Technology Safeguard

Measures or tools employed to protect against unauthorized access, damage, or theft of technological assets.

Employer Permission

Authorization or consent given by an employer for an employee to undertake a specific action or activity.