Which of the following is an advantage of a company using equity rather than debt to finance
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Question:
1) Dividends do not need to be paid.
2) Interest is tax deductible whereas dividends paid are not.
3) Dividends always require less cash than does paying interest on debt.
4) No taxation similar to bonds.
Related Book For
Auditing and Assurance Services
ISBN: 978-0077862343
6th edition
Authors: Timothy Louwers, Robert Ramsay, David Sinason, Jerry Straws
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