a. Financial slack means having cash in the bank or ready access to the debt markets. b.

Question:

a. Financial slack means having cash in the bank or ready access to the debt markets.
b. Financial slack is most valuable to firms with few investment opportunities.
c. Managers with excessive financial slack may be tempted to spend it on poor investments.
True or false?
Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Fundamentals of Corporate Finance

ISBN: 978-0077861629

8th edition

Authors: Richard Brealey, Stewart Myers, Alan Marcus

Question Posted: