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Ducuss the charne in the compaty/r ust af stite ove this 4.1ea pecol. accounting period. purchased more assets I reported fot inctapl ourit this atepurting

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Ducuss the charne in the compaty/r ust af stite ove this 4.1ea pecol. accounting period. purchased more assets I reported fot inctapl ourit this atepurting perod. Aswining no 10,02/201175 milion 10/24/041ses milian 32720985 misen. The most praficable peer =10 fiscal year toset 12041,2010/2009. Q9 Develop a stratezy ta aralyse the balarex sheec which line would yeu lock at frit? Second? Third? Why? position. Why? 5 upport pour responte with at lewt tws obtervationt. heye no denwhit ricts. corporation is arsuming. it ceneril, the more a cerpomtion relies on debt to finance assets, the defert the franala rak of the copocation. asove chart. lDebt rato a cioblifier / Assed) The ratio quartifies the preportion of asien firanaed with debt. (cookle / Gb) in financing assets primarily with debt, therefore. (Google / ait). Is assumirg the greater finascial risk Bused ony on the Intormation presented above, which company weuld you choore as at investmest? (Gocyle/ 605 . Why? Q2. For each item circle the correct reiponse when cencaring the issuance of debt and equity. a. The coporation idoes / does not) huve to gwy interest to creditors, but (does / does cot) the to nay dividends to ahareholider. b. The corporation (must / never has to) repey anounts boerowed from creditors, but (must) i never hat to) repay amounts invelted by shareholders, thus the title, "contributed" casital. c. The interest expense of debt (redoces/does not reduce) tauble income, but dividends paid to sturehoiden (reduce/do not reduce| trabie inceme. d. Iscing additional debt idoes/ boes notid dist current thareholders' ownership, but losuly additional shares of comman stock (does I does not) dilute current shareholders' ownership. e. If you were the CFO of a compaty, how would you recommend financing astets? Primarily with (debt / equitay). Why? atunte sheet

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