Question Completion Status: QUESTIONS Companies can issue bonds or stocks to raise capital. Which statement is TRUE? O Bonds are typically less risky that stocks for investors since they have a primary claim to cash flows of the company When a company issues more shares, EPS increases Bond holders will receive more returns than stated if the company makes more cash flows O Companies must pay a dividend A company has a dividend payout of 30% and consistently raises its regular dividends slowly over time, you could assume.... The company has a one-time supply of excess cash O Overall business prospects look good into the foreseeable future O The company has no available opportunities to invest in new projects The company's stock price is rising rapidly QUESTION 11 Which one of the following is a likely reason for a company to reduce its regular dividend? A projected decrease in net income next quarter A projected decrease in revenue next quarter A loss of a major customer, which will effect profit for the next few years A decrease in number of projects in which the company can invest