Please answer the question 12-21

mark true or false

Please marki for true or "F" for false in space next to each statement. If a company experiences distress or indirect costs, it must later go bankrupt. All stock must have a maturity date. Shelf registration is what a startup business uses to raise capital. The par value of common stock historically serves the purpose as being a minimum amount for which a share of a corporation's stock must be sold The market price of a corporation's shares is not always equal to the book value ofl the shares (original value for which the shares were sold). A bond with a call provision enables the issuer to refinance the amount borrowed by the bond issuer at a lower rate when market rates go down The annual return may only be calculated for stock, not bonds. 19. A cash deficit unit is a party that needs financing (debt or equity) from the financial! markets. Financial Decisions Additional Practice Questions Chapters 5 and 6 One of the risks of borrowing money is the possibility of not being able to pay it back! as agreed. 20 21. If a financial security has higher risk than another security, the investor in the high- risk security expects a higher return than that for the comparatively low-risk security