Which of the following factors is correct regarding a company's decision to finance operations using a debt or equity alternative plan?

a. Stock requires a repayment of principal.

b. Ownership in the company is diluted when bondholders are added if the company chooses the debt alternative.

c. A corporation is not legally obligated to pay dividends on common stock if it chooses the equity alternative.

d. Bondholders are allowed a voting interest in the corporation as financiers of the business.