A company is determining how to raise new capital to fund its growth.It decides to increase its
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Question:
A company is determining how to raise new capital to fund its growth.It decides to increase its debt instead of selling stock.What are the advantages of using debt instead of equity to fund its growth (select all that apply).
The interest expense will reduce its tax expense.
Ownership % will not be diluted.
Its risk from bankruptcy will decrease.
Related Book For
Smith and Roberson Business Law
ISBN: 978-0538473637
15th Edition
Authors: Richard A. Mann, Barry S. Roberts
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