All of the following are considered debt instruments EXCEPT
A) term deposits.
B) treasury bills.
C) bonds.
D) preferred shares.

Question

Quizplus · Accepted Answer

Preferred shares are considered equity instruments, not debt instruments. They represent ownership in a company and may pay dividends, but they do not represent a loan or obligation of the company to the shareholders, unlike term deposits, treasury bills, and bonds, which are all forms of borrowing.

All of the Following Are Considered Debt Instruments EXCEPT