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Nikolay [14]
3 years ago
7

Bonds are a far more important source of financing than are stocks B. Financial intermediaries such as banks are the least impor

tant source of external funds for businesses C. Since​ 1970, more than half of the new issues of stock have been sold to American households D. Stocks and bonds combined supply more than​ one-half of the external funds
Business
1 answer:
Anna71 [15]3 years ago
5 0

Answer:

Bonds are a far more important source of financing than are stocks

Explanation:

There is so much of risk associated with the issue of stock. Though it is essential for any business to issue some stock, but bonds are always favorable as they have a defined maturity, defined amount associated, and defined interest payment.

There is no direct payment of interest in bonds but the expense is to be recorded in books as per the matching and accrual principle.

The discounted value of interest to be paid on maturity is recorded.

Further, there is a tax benefit on bond payments.

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A company's beta (from the CAPM) is affected by its capital structure. a. True b. False
liberstina [14]

Answer:

True

Explanation:

We know that

Risk-free rate of return = Risk-free rate of return + Beta × (Market rate of return - Risk-free rate of return)

where,

The Market rate of return - Risk-free rate of return) is also known as the market risk premium and the same is applied.  

Plus we know that the capital structure is composed of debt and equity. If the debt is increasing, the market risk is also increased, and therefore the volatility is also increasing.  

The beta is the volatility which can affect due to market movements so it automatically affect the capital structure

3 0
3 years ago
Which components must all tasks have? Check all that apply.
stepladder [879]

Answer:

A. subject

B. start date

D. due date

Explanation:

6 0
2 years ago
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Kay and Jenny's, a restaurant, implements a new system that identifies and gathers information about its regular customers. It r
Elena L [17]

Answer:

Customer relationship management (CRM)

Explanation:

Customer relationship management can be defined as a set of technologies, strategies and practices related to a business, whose main objective is to focus on the relationship with the customer.

The information age has revolutionized the way companies relate to their customers, nowadays digital media and new technologies have enabled greater interactions between company and customer, which created a need for companies to also seek corporate strategies and technologies that would bring relevant benefits for business success. Some of the CRM platforms enable companies to gather information from customers in order to manage sales opportunities and leads, in addition to organizing accounts and contacts in an accessible way and optimizing and accelerating the sales process.

5 0
3 years ago
US Unemployment Rate 1980–1985 A graph titled U S Unemployment Rate from 1980 to 1985 has year on the x-axis, from 1980 to 1985,
rjkz [21]

Answer:

1982

Explanation:

4 0
3 years ago
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The nurse is assessing a patient's functional ability. which activities most closely match the definition of functional ability?
Sever21 [200]
When The nurse is assessing a patient's functional ability, the activities that <span> most closely match the definition of functional ability are: 
</span><span>-. Healthy individual works outside the home, use a cane, well groomed. 
- Healthy individual, college education, travels, can balance a checkbook

During the assessment, the nurse will assist the patient to do several activities that will most likely become the patient's routine</span>
5 0
3 years ago
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