Which of the following is not a reason that a corporation would want to issue bonds instead of stock?
A)Interest payments can be deducted for income tax purposes.
B)Stockholders maintain control.
C)The impact on earnings may be positive.
D)There is less risk associated with a bond issue.

Question

Quizplus · Accepted Answer

Bond issues are more risky because of the fixed dates for payment of interest and principal.

Which of the Following Is Not a Reason That a Corporation