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Changes in a firm's bond rating affect its ability to: A. claim deductions in tax liability computation. B. borrow long-term capital and the cost of

Changes in a firm's bond rating affect its ability to:

A. claim deductions in tax liability computation.

B. borrow long-term capital and the cost of such funds.

C. increase the coupon rate on bonds issued to investors.

D. procure raw material in sufficient quantity for manufacturing processes.

E. exercise a call provision on its bonds.

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