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Tiger Corp expects to sell 15,000 units of product. The average price per unit is $12 and variable cost per unit is $5. Their fixed
Tiger Corp expects to sell 15,000 units of product. The average price per unit is $12 and variable cost per unit is $5. Their fixed costs total $20,000 and they have interest charges of $40,000. Bear Corp expects to sell 15,000 units of product. The average price per unit is $12 and variable cost per unit is $5. Their fixed costs total $20,000 and they have interest charges of $15,000. Which company has greater financial risk? Both have the same financial risk Tiger Corp Bear Corp Question 41 1 pts An increase in tax rates will result in a decrease in a company's weighted average cost of capital (WACC). True False
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