Explain the following statement: Whereas a bond contains a promise to pay interest, common stock provides an

Question:

Explain the following statement: “Whereas a bond contains a promise to pay interest, provides an expectation but no promise of dividends.”

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on...