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Which of the following is a valid reason for a firm not to use as much debt as it can raise? Group of answer choices
Which of the following is a valid reason for a firm not to use as much debt as it can raise?
Group of answer choices
The use of more debt is expected to result in a lower price/earnings ratio
The use of more debt is expected to result in an increase in the firms cost of capital when everything is considered
More debt will increase the firms riskiness
All of them are valid reasons for a firm to use less debt than might be available
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