An Advantage of Bonds Is

question 56

Multiple Choice

An advantage of bonds is:

• A)Bonds do not affect owner control.
• B)Bonds require payment of par value at maturity.
• C)Bonds can decrease return on equity.
• D)Bond payments can be burdensome when income and cash flow are low.
• E)Bonds require payment of periodic interest.

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Definitions:

Three-Phase Load

An electrical load operating with three phases of alternating current, providing more consistent, balanced power delivery.

VARs

Volt-Ampere Reactive, a unit of reactive power in an AC electrical power system.

Three-Phase Connection

A method of electrical connection that uses three alternating currents of the same frequency and amplitude but with phases offset by one third of a cycle.

Windings

Coils of wire around a core in electrical devices, used to create magnetic fields or induce currents.