Question

What do Amazon’s bondholders and stockholders have in common?               Group of answer choices All of...

What do Amazon’s bondholders and stockholders have in common?           
  

Group of answer choices

All of these are true.

Two of these are true,

Both are stakeholders in the company.

Both hold claims on Amazon’s profits and have the right to receive distributions of those profits.

Both have voting rights and are represented by Amazon’s board of directors.

Both hold claims on the Amazon’s income and assets.

Homework Answers

Answer #1

Amazon's bondholders and shareholders have two things in common first they both are the stakeholders of the company because stakeholders including everyone bond holder, customer, employees etc.

On the other hand both of the segment have claims over income and assets of the Amazon. As debt holder get interest and equity holders get dividend from income. On the other hand in case of liquidation both have claims over asset of the firm but debt holder have priority in claims in assets.

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