the basic expense recognition criteria states that expenses should be recognized when;

a) cash is paid

b) there is a decrease in an asset or increase in liability, excluding transactions with owners

c) there is an increase in an asset of decrease in liability, excluding transactions with owners

d) all of the above

which of the following is a disadvantage of using debt financing compared to equity financing?

a) the interest on the debt must be paid

b) shareholder control is not affected

c) income tax savings result

d) earnings per share and return on equity may be higher

the amount that the issuing company must pay at the maturity date of bonds is called;

a) face value

b) par value

c) maturity value

d) all of the above