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Bonds are a liability (debt) for a company, stock is equity and therefore, a form of capital. Using the information and terminology in this module
Bonds are a liability (debt) for a company, stock is equity and therefore, a form of capital. Using the information and terminology in this module and research you complete on your own, determine the pros and cons for a company for issuing bonds and stocks. Assess the following components:
- Advantages
- Disadvantages
- Potential for Earnings
- Risk
- Access to funds
- Tax implications
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