As was mentioned in the chapter, new equity issues are generally only a small portion of all

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As was mentioned in the chapter, new equity issues are generally only a small portion of all new issues. At the same time, companies continue to issue new debt. Why do companies tend to issue little new equity but continue to issue new debt?

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Corporate Finance

ISBN: 978-0077861759

10th edition

Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe

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Question Posted: Aug 28, 2014 10:19 AM

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As was mentioned in the chapter, new equity issues are generally only a small portion of all

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A company has to issue more debt to replace the old debt that comes due if the company wants t...View the full answer

Corporate Finance

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