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Which of the following is correct? Earnings after taxes is paid out as dividends to shareholders and interest to bondholders. Interest expense does not affect

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Which of the following is correct? Earnings after taxes is paid out as dividends to shareholders and interest to bondholders. Interest expense does not affect the taxes owed by a firm. Dividends will decrease the profit earned by a firm. Depreciation decreases the earnings before taxes of a firm. Retained earnings is that portion of net income not paid as taxes

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