问题如下：
which of the following statements is incorrect?
选项：
A.Senior debt takes priority over junior debt. It has the first claim on the borrower’s cash flow.
B.Preferred stock: is senior to common stock, but subordinate to bonds in terms of claim
C.Convertible bonds is a type of bond that holders can convert into a predetermined number of common stock in the issuing company or cash of equal value.
D.Payment in kind (PIK) bonds are bonds that allow borrowers to pay interest with cash
解释：
答案：D is correct.
解析：本题让选出描述错误的一项，D选项描述错误。
A/B/C三个选项正确，为讲义给定结论。D选项错误在，PIK债券不是用Cash支付Interest，而是用Additional bonds来支付利息。
转换债券可以转换成现金吗
