From the standpoint of the issuing company, a disadvantage of using bonds as a means of long- term financing is that interest must be paid on a periodic basis regardless of earnings. O income to shareholders may increase as a result of trading on the equity. O bond interest is deductible for tax purposes. O the bondholders do not have voting rights. A stock dividend does not change assets, but it will increase shareholders' equity. True False Preferred shares that grant the issuing corporation the right to purchase the shares from shareholders at specified future dates and prices are called: retractable preferred shares. convertible preferred shares. cumulative preferred shares. O redeemable preferred shares