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Companies have the opportunity to use varying amounts of different sources of financing to acquire their assets, including internal and external sources, and debt (borrowed) and equity funds. Aunt Dottie's Linen Inc. reported no long-term debt in its most recent balance sheet. A company with no debt on its books is referred to as: A company with no leverage, or an unleveraged company A company with leverage, or a leveraged company Which of the following is true about the leveraging effect? Under economic growth conditions, firms with relatively low leverage will have higher expected returns. Under economic growth conditions, firms with relatively more leverage will have higher expected returns. The U.S. tax structure influences a firm's willingness to finance with debt. The tax structure _______ more debt