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13. Which of the following would decrease the nancial leverage of a rm? A. New bonds are sold and outstanding common stock is repurchased. B.

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13. Which of the following would decrease the nancial leverage of a rm? A. New bonds are sold and outstanding common stock is repurchased. B. New bonds are sold and short-term notes payable are paid off. C. New equity is sold and existing bonds are paid off. D. Total debt increases and total assets remain constant. E. Total assets increase and the debt-to-equitv ratio remains constant

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