A Corporation with Long-Term Fixed-Rate Debt Might Prefer Floating-Rate Debt

question 113

Multiple Choice

A corporation with long-term fixed-rate debt might prefer floating-rate debt if they thought that:

• A)Interest rates would be declining
• B)Interest rates would be increasing
• C)Their bond rating might be lowered
• D)Their bonds were going to be converted into equity

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Definitions:

Sales Career Path

A progression of job roles and responsibilities in the sales domain, potentially leading from entry-level positions to senior sales leadership.

Core Principles

Fundamental beliefs or values that form the foundation for the systems, practices, and objectives of an organization or individual.

Morally Ethical

Good, morally right.

Professional Selling

The process of offering products or services to potential clients in a business environment through knowledgeable, ethical, and respectful techniques.