Which Statement Is True

question 55

Multiple Choice

Which statement is true?

• A)Firms often pay higher interest rates on term loans than on public issues of debt.
• B)The only difference between a term loan and a private placement is the size of the issue.
• C)A prospectus is required for equity issues but not for debt issues.
• D)The flotation costs of issuing debt tend to be more expensive than for issuing equity.
• E)Direct long-term loans must be registered with the SEC.

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Definitions:

Asexual Spores

Reproductive cells produced by some organisms, enabling them to reproduce without the need for sexual reproduction.

Sac Fungus

A group of fungi characterized by the production of spores in sac-like structures called asci.

Conidia

Asexual, non-motile spores of fungi that are often produced in large numbers and serve as the primary means of reproduction for many fungal species.

Cuplike Structure

A cuplike structure is a physical form resembling a cup, often found in biological organisms as part of organs or within certain plant species to collect or hold substances.