Question
A company is determining how to raise new capital to fund its growth.It decides to increase its debt instead of selling stock.What are the advantages
A company is determining how to raise new capital to fund its growth.It decides to increase its debt instead of selling stock.What are the advantages of using debt instead of equity to fund its growth (select all that apply).
The interest expense will reduce its tax expense.
Ownership % will not be diluted.
Its risk from bankruptcy will decrease.
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Smith and Roberson Business Law
Authors: Richard A. Mann, Barry S. Roberts
15th Edition
1285141903, 1285141903, 9781285141909, 978-0538473637
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