Which One of the Following Statements Concerning Debt Issues Is

question 17

Multiple Choice

Which one of the following statements concerning debt issues is correct?

• 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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Employed Category

A classification used in labor statistics to describe individuals who are currently employed and working.

Unemployed Category

A classification of individuals who are without a job, actively seeking work, and available to take up employment but are unable to find a job.

Unemployment Rate

The proportion of job-seekers in the labor force who do not currently hold employment.

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The total number of people who are eligible to work, including both the employed and those seeking employment.