Which one of the tollowing statements is true?

Multiple Choice

None of the options are correct.

Bonds are low$-$risk investments that do well in inflationary periods.

Bonds with call provisions will have lower coupon rates than otherwise identical bonds.

Preferred stockholders are the first investors to be repaid in bankruptcy liquidation.

Debt instruments offer residual claims to future cash payouts.

Bondholders enjoy a direct voice in company decisions.