Question: QUESTION 13 When a company's project results in a return and profit after interest and taxes which exceeds the cost of its debt financing: A.both

QUESTION 13

  1. When a company's project results in a return and profit after interest and taxes which exceeds the cost of its debt financing:

A.both the debt holders and shareholders can share in the profits

B.only the shareholders share in the profits

C.the interest payments to the debt holders may increase

D.its cost of capital increases

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