Directions: Tell whether the following are characteristics of stocks or bonds. Write stock or bond
1. A form of equity financing or raising money by allowing investors to be part owners of
the company.
2. It can be appropriate for retirees or for those who need the money soon
3. Investors can earn if the security prices increase, but they can loose money if the
security prices decrease or worse if the company goes bankrupt.
4. A form of debt financing or raising money by borrowing from investors
5. Investors are guaranteed interest payments and a return of their money at the maturity
date​