Why is the following statement true? Other things being the same, firms with relatively stable sales are

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Why is the following statement true? “Other things being the same, firms with relatively stable sales are able to carry relatively high debt ratios.”

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Financial management theory and practice

ISBN: 978-0324422696

12th Edition

Authors: Eugene F. Brigham and Michael C. Ehrhardt

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Question Posted: Mar 18, 2010 12:17 AM

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Why is the following statement true? Other things being the same, firms with relatively stable sales are

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If sales tend to fluctuate widely then cash flows and the ability to service fixed c...View the full answer

Financial management theory and practice

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