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Which of the following actions could a company's owners use to reduce its leverage? Select all that apply. A) Raise additional equity capital. B) A
Which of the following actions could a company's owners use to reduce its leverage? Select all that apply.
A) Raise additional equity capital.
B) A co-owner sells all his shares in Comfy Home to another co-owner.
C) Sell PP&E at book value and use the cash to pay off creditors.
D) Pay off long-term debt.
E) Increase net profits (and thereby retained earnings).
F) Use short-term debt to pay off long-term loans.
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