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How does a bond differ from a stock? Select all that apply.

A bond is issued for a certain amount, while a stock is a small part of ownership in a company
A bond is usually issued by a government, while a stock by a public for profit company
A bond is something you keep forever, while a stock you can buy and sell whenever you want
A bondholder receives interest from the bond-issuer, while a stock holder receives nothing until they sell the stock
A bond is considered a safer investment, while a stock is considered riskier

2 Answers

5 votes

Its all of the answer choices



User Tyler Rick
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A&B are true
C- bonds have a specified term of maturity, therefore it is not forever

D- stock holders can receive dividends before selling the stock

E-While typically safer, bonds are not categorically safer than stock
User Lukas Novicky
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8.5k points