Which of the Following Statements About the Characteristics of Debt

question 110

Multiple Choice

Which of the following statements about the characteristics of debt and equity is false?

• A) They can both be long-term financial instruments.
• B) They can both be short-term financial instruments.
• C) They both involve a claim on the issuer's income.
• D) They both enable a corporation to raise funds.

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Definitions:

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