Homework Answers
Stocks are different from bonds because
A) Stocks,unlike bonds,represents residual ownership.
Explanation - The general features of stocks vs Bonds are-
The stocks have ownership rights whereas the bonds do not have.
The stocks have no fixed interest/dividend obligation whereas bonds have fixed interest obligation
The Stock dividend is not tax deductible whereas bond interest is tax deductible.
So as per above features Answer will be option A.
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