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If a company does not have any debt it can probably lower its cost of capital by borrowing due to; A. The interest tax shield
If a company does not have any debt it can probably lower its cost of capital by borrowing due to; A. The interest tax shield created because interest costs are tax deductible B. Interest costs decrease as the company borrows more c. The company is less likely to be the subject of a corporate takeover D. The existence of debt increases cash flow E. Risk decreases
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