Question: Answer the following questions briefly, logically and concisely. 1. Which is more advantageous, stocks or bonds? Support your answer. 2. Differentiate preferred from common stocks.

Answer the following questions briefly, logically and concisely.

1. Which is more advantageous, stocks or bonds? Support your answer.

2. Differentiate preferred from common stocks. If you were the investor, what will be your choice? Why?

3. Is it true that bond prices can become volatile depending on the credit rating of the issuer? Present valid justifications.

4. In your evaluation; which is more advantageous, stocks or bonds? Support your answer.

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