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The disadvantages of debt to the corporation include all but which of the following? Debt may be paid back with cheaper dollars. Interest and principal
The disadvantages of debt to the corporation include all but which of the following? Debt may be paid back with "cheaper" dollars. Interest and principal payments must be met regardless of performance results. Indenture agreements may place burdensome restrictions on the firm. Too much debt may depress the firm's stock price. Which of the following in NOT a financial advantage to companies using debt? Debt is paid back in "cheaper" dollars during inflationary periods. Bondholders have no control over the actions of management. The cost of debt can lower the weighted average cost of capital. Interest payments are tax deductible. The benefits of debt to the corporation include all of the following except? Interest payments are tax deductible. Stock value tends to go up when debt is used heavily. Debt obligations are fixed. It generally lowers the weighted average cost of capital. Financial theory expects investors to be? Risk-seeking Risk-averse A project has the following projected outcomes in dollars : $250, $350, and $500. The probabilities of their outcomes are 25%, 50%, and 25%, respectively. What is the expected value of these outcomes? $362.50 $89.40 $94.50 $178.30 A project has the following projected outcomes in dollars: $250, $350, and $500. The probabilities of their outcomes are 25%, 50%, and 25%, respectively. What is the expected value of these outcomes? $362.50 $89.40 $94.50 $178.30
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