Which of the statements below is NOT true?
A)Preferred stock is a form of hybrid equity financing.
B)Retained earnings are a form of hybrid equity financing.
C)Common stock is a form of equity financing.
D)Corporate bonds are a form of debt financing.

Question

Quizplus · Accepted Answer

Retained earnings are not a form of financing, but rather the portion of a company's profits that are not distributed as dividends and are kept for future use. A, C, and D are true statements about different types of financing.

Which of the Statements Below Is NOT True