bonds quizlet

Why Would A Company Choose To Issue Bonds Instead Of Issuing Stock?

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Why Would A Company Choose To Issue Bonds Instead Of Issuing Stock? There are several advantages of issuing bonds (or other debt) instead of issuing shares of common stock: Interest on bonds and other debt is deductible on the corporation’s income tax return while the dividends on common stock are not deductible on the income

What Is One Difference Between Stocks And Bonds?

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What Is One Difference Between Stocks And Bonds? What is a major difference between Stocks and Bonds? Stocks offer ownership of a Business and a share of any cash distributions (‘Dividends’). Bonds offer the ability to participate in Lending to a Business but no ownership. Instead, the buyer of a Bond receives Interest and Principal