Which of the following statements is false?
A) The holders of subordinated debt demand a lower interest rate than the holders of unsubordinated debt.
B) Marketable securities are normally issued at a lower interest rate than other types of debt,ceteris paribus.
C) A variable interest rate consists of a base rate plus a margin that reflects the risk of the borrower.
D) None of the given options.
Correct Answer:
Verified
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