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Which of the following is a disadvantage of issuing stocks compared with issuing bonds, if a firm would like to raise funds to finance a
Which of the following is a disadvantage of issuing stocks compared with issuing bonds, if a firm would like to raise funds to finance a project? Multiple Choice Issuing stocks could dilute the ownership right of the current shareholders. Issuing bonds will not as bondholders cannot vote or share in the company's earnings. The dates for the interest and maturity payments are fixed. A firm does not have to pay dividends to shareholders. both dividends and interest expense are tax deductible
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