INSTRUCTIONS: Choose the Word or Phrase in [ ] Which

question 73

Short Answer

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
A debenture is an example of a [ junior | senior ] bond.

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Definitions:

Stock Investments

Investments in shares of public companies, aiming to generate income through dividends or capital gains.

Consolidation

Consolidation is the process of combining the financial statements of several subsidiaries or companies into the combined financial statements of the parent company to present as a single economic entity.

Equity Method

An accounting technique used by a company to record its investment in another company when it holds significant influence but not full control or majority ownership.

Cash Dividends

A corporation's disbursement of earnings to its shareholders as cash.