Which of these instruments carry the most uncertainty about timing of payments and their amounts?a. Bonds0 b. Common shares•с. Preference shares• d.- Loans
Question
Which of these instruments carry the most uncertainty about timing of payments and their amounts?a. Bonds0 b. Common shares•с. Preference shares• d.- Loans
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Solution 1
The instrument that carries the most uncertainty about the timing of payments and their amounts is b. Common shares.
Here's why:
a. Bonds: Bonds have fixed interest payments and a maturity date when the principal is returned. Therefore, the timing and amount of payments are certain.
b. Common sh Knowee AI StudyGPT is a powerful AI-powered study tool designed to help you to solve study prob
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