Which of the Following Statements About Bonds Is False

question 52

Multiple Choice

Which of the following statements about bonds is false?

• A)They may be issued to finance major expansions.
• B)They may be issued to refinance existing debt.
• C)They account for many of the organization's transactions.
• D)They are generally highly material to the financial statements.

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Definitions:

XYZ Affair

Affair in which French foreign minister Talleyrand’s three anonymous agents demanded payments to stop French plundering of American ships in 1797; refusal to pay the bribe was followed by two years of undeclared sea war with France (1798–1800).

Judicial Review

The power of courts to assess the constitutionality of legislative acts or governmental actions and to overrule those that are found unconstitutional.

Mob Rule

A situation in which control is taken away from duly elected authorities or established rules and instead is exercised by the masses or crowds, often leading to chaos and disorder.

Judith Sargent Murray

An early American advocate for women's rights and education, known for her essays promoting the intellectual capabilities of women.