A Disadvantage of Bonds Is

question 135

Multiple Choice

A disadvantage of bonds is:

• A) Bonds require payment of periodic interest.
• 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) All of these.

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Definitions:

Ivan Pavlov

A Russian physiologist known for his work in classical conditioning, particularly for his experiments with dogs, which led to the concept of the conditioned reflex.

Digestion

The biological process of breaking down food into smaller components that can be absorbed into the bloodstream.

Dogs

Domesticated carnivorous mammals that are widely kept as pets or for work such as hunting, herding, and providing assistance.

Classical Conditioning

An educational method where associations between an environmental trigger and a naturally happening stimulus lead to learning.