Question: If the majority voting control partners in an entity are close to retirement, they mayprefer more equity issued versus debt. T/F The more stable the

If the majority voting control partners in an entity are close to retirement, they mayprefer more equity issued versus debt.

T/F

The more stable the selling price is, the more likely the firm will have a low debt level.

T/F

An increase in the cost of capital will cause the NPV to _______ and the profitability index to _____.

increase; increase

increase; decrease

decrease; increase

decrease; decrease

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