Question
In general, debt financing is less expensive than equity financing because the interest expense associated with debt is tax deductible; however, there are risks associated
In general, debt financing is less expensive than equity financing because the interest expense associated with debt is tax deductible; however, there are risks associated with debt that can make it unattractive and even unacceptable for a corporation. What are the risks that are associated with debt, and why might those risks be unacceptable to a corporation that needs money?
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International Financial Markets And The Firm
Authors: Piet Sercu, Raman Uppal
1st Edition
1861523548, 978-1861523549
