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Explain the differences among bonds offered by the state.
Explain the differences among bonds offered by the corporations.
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- Government debt securities are issued by Whose obligations are they?When corporations issue bonds, there are two distinct obligations. What are those obligations? What do the following terms mean in regard to corporations issuing bonds: convertible, callable, and debenture?When are corporations likely to call their bonds?
- Which type of bond has interest payments that are exempt from federal income taxes? A. Corporate bonds B. Certificates of deposit C. Municipal bonds D. Treasury bondsDo you think issuing bonds by the government is effective and does it achieve its purpose?The cash interest payment a corporation makes to its bondholders is based on
- The following entities issue bonds to engage in long-term borrowing EXCEPT: Multiple Choice O O the federal government. state and local governments. corporations. individuals.Which one of the following can issue the corporate bond O a. Individuals O b. Central Government c.Public Limited companies d.State GovernmentHow does the deductibility of interest and dividends by the paying corporation affect thechoice of financing (i.e., the use of debt versus equity)?