Determine if the following, if stocks or bonds 1. Its buyers receive return called dividend. a. Stocks b. Bonds 2. It is paid based on its redemption value. a. Stocks b. Bonds 3. It is said to be redeemed at par if face value equals redemption value a. Stocks b. Bonds 4. It is represented by a certificate which is proof of ownership. a. Stocks b. Bonds 5. It grants credit to a company. a. Stocks b. Bonds 6. It represents a claim on the company's assets and earnings. a. Stocks b. Bonds 7. Its buyers become lenders to the company. a. Stocks b. Bonds 8. It is a written contract between the borrower and the lender. a. Stocks b. Bonds 9. Some owners of it earn voting rights to some important company decisions. a. Stocks b. Bonds 10. Some owners of it earn voting rights to some important company decisions. a. Stocks b. Bonds

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Determine if the following, if stocks or bonds
1. Its buyers receive return called dividend.
a. Stocks
b. Bonds
2. It is paid based on its redemption value.
a. Stocks
b. Bonds
3. It is said to be redeemed at par if face value equals redemption value
a. Stocks
b. Bonds
4. It is represented by a certificate which is proof of ownership.
a. Stocks
b. Bonds
5. It grants credit to a company.
a. Stocks
b. Bonds
6. It represents a claim on the company's assets and earnings.
a. Stocks
b. Bonds
7. Its buyers become lenders to the company.
a. Stocks
b. Bonds
8. It is a written contract between the borrower and the lender.
a. Stocks
b. Bonds
9. Some owners of it earn voting rights to some important company decisions.
a. Stocks
b. Bonds
10. Some owners of it earn voting rights to some important company decisions.
a. Stocks
b. Bonds
Transcribed Image Text:Determine if the following, if stocks or bonds 1. Its buyers receive return called dividend. a. Stocks b. Bonds 2. It is paid based on its redemption value. a. Stocks b. Bonds 3. It is said to be redeemed at par if face value equals redemption value a. Stocks b. Bonds 4. It is represented by a certificate which is proof of ownership. a. Stocks b. Bonds 5. It grants credit to a company. a. Stocks b. Bonds 6. It represents a claim on the company's assets and earnings. a. Stocks b. Bonds 7. Its buyers become lenders to the company. a. Stocks b. Bonds 8. It is a written contract between the borrower and the lender. a. Stocks b. Bonds 9. Some owners of it earn voting rights to some important company decisions. a. Stocks b. Bonds 10. Some owners of it earn voting rights to some important company decisions. a. Stocks b. Bonds
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