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What is the basic reason why debt financing affects the income available to asset funders? Interest is a tax - deductible expense. Taxes increase when

What is the basic reason why debt financing affects the income available to asset funders?
Interest is a tax-deductible expense.
Taxes increase when debt financing replaces equity financing.
Interest is excluded from the income available to asset funders.
Shareholders are asset funders but creditors are not.
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