Question: In general, debt financing is less expensive than equity financing because the interest expense associated with debt is tax deductible, but there are risks associated

In general, debt financing is less expensive than equity financing because the interest expense associated with debt is tax deductible, but there are risks associated with debt that can make it unattractive and even unacceptable for a corporation. What are the risks that are associated with debt, and why might those risks be unacceptable to a corporation that needs money?

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