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For a given company, the cost of debt is less than its cost of equity because for the following reasons, except: Group of answer choices

For a given company, the cost of debt is less than its cost of equity because for the following reasons, except: Group of answer choices

interest is a legal obligation, yet dividends are not.

interest is tax deductible and dividends are not.

interest income is taxed at a higher rate than is dividend income.

creditors have seniority over owners.

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