Which of the following statements about the relative advantages of equity and debt financing is false? a.

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Which of the following statements about the relative advantages of equity and debt financing is false?

a. An advantage of equity financing is that it does not have to be repaid.
b. An advantage of equity financing is that dividends are optional.
c. An advantage of equity financing is that new stockholders get to vote and share in the earnings of the company.
d. An advantage of debt financing is that interest is tax deductible.

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Fundamentals Of Financial Accounting

ISBN: 9781265440169

7th Edition

Authors: Fred Phillips, Shana Clor Proell, Robert Libby, Patricia Libby

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