A Sinking Fund Is Useful to Bondholders Because

question 10

Multiple Choice

A sinking fund is useful to bondholders because:

• A) it stops the company from going under or into default.
• B) the funds are usable at the option of the bondholders.
• C) when a firm has difficulty making payments this sends a signal of potential default.
• D) a balloon payment is necessary to fully pay off the bonds at maturity.

Analyze online marketing frameworks considering context elements.

Understand the concept and importance of sustainable competitive advantage in long-term financial performance.

Recognize the importance of strategic planning and whether it is always sequential.

Identify the macro strategies (customer excellence, operational excellence, product excellence) for achieving sustainable competitive advantage.

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Definitions:

Dishabituation

The renewal of attention to a stimulus following a change, after initial habituation (or decreased response) to the same or similar stimuli.

Classical Conditioning

A learning process that occurs when two stimuli are repeatedly paired: a response which is at first elicited by the second stimulus is eventually elicited by the first stimulus alone.

Conditioned Stimulus

A previously neutral stimulus that, after association with an unconditioned stimulus, comes to trigger a conditioned response.

Unconditioned Stimulus

In classical conditioning, a stimulus that naturally and automatically triggers an unconditioned response without the need for prior learning.