Indicate whether each of the following relates to equity E
Indicate whether each of the following relates to equity (E) or debt (D) financing and whether it makes that form of financing more, or less, favorable.
____ 1. Interest is tax deductible.
____ 2. Dividends are optional.
____ 3. It must be repaid.
____ 4. Additional stock issuances dilute existing stockholders’ control.
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