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Multiple Answer question (choose all answers that apply). Consider the following shock to your firm, the cash receipts go down 9% due to a change
Multiple Answer question (choose all answers that apply). Consider the following shock to your firm, the cash receipts go down 9% due to a change in demand. How might this impact the firm compared to the base case scenario (no change in cash receipts in the same year)? a) NIAT would likely increase | b) Interest expense should increase c) Interest expense should decrease d) Profitability margin would likely decrease e) TIE ratio would likely increase | f) Profitability margin would likely increase g) Interest expense should not change h) TIE ratio would likely decrease |i) Taxes would likely increase if not $0 i) NIAT would likely decrease |k) Taxes would likely decrease if not $0
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