Question 1
Which of the following is
not a reason investors purchase bonds?
◦ Conservative investment
◦ Pay periodic income
◦ May be convertible
◦ Have high risk and return
Question 2
Investors purchase corporate bonds because
◦ they are a risk-free investment.
◦ they pay interest income.
◦ they pay dividends.
◦ the returns are higher than the returns from stocks.