An Advantage of Bonds Is

question 18

Multiple Choice

An advantage of bonds is:

• A) Bond payments can be burdensome when income and cash flow are low.
• B) Bonds require payment of par value at maturity.
• C) Bonds require payment of periodic interest.
• D) Bonds can decrease return on equity.
• E) Bonds do not affect owner control.

---

Definitions:

Laissez-faire

An economic philosophy of free-market capitalism that opposes government intervention.

Reciprocal

involving mutual exchange or sharing between two or more parties.

Authoritarian

Characterizing a system of government or leadership where control is held by a single ruler or small group, often lacking democratic participation or personal freedoms.

Role Playing

A technique or exercise where individuals act out roles or scenarios to develop skills, solve problems, or gain an understanding of different perspectives.