The Differences Between Stocks and Bonds Include Which of the Following

question 17

Multiple Choice

The differences between stocks and bonds include which of the following?

• A)Future cash flows from stocks are not guaranteed.
• B)Bonds have a fixed maturity and a guaranteed repayment of principal.
• C)The timing and amount of cash flows from a bond are fixed.
• D)All of the above
• E)None of the above

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Definitions:

Opportunity Cost

The dropping of possible gains that could come from other alternatives when a specific one is chosen.

Production Technology

The methods and processes used to convert inputs into outputs (goods or services).

Corn

A cereal plant that yields large grains, or kernels, set in rows on a cob; widely grown for food, fodder, and biofuel.

Rice

Rice is a staple food grain consumed worldwide, known for its versatility and ability to serve as a primary source of carbohydrate.