Which two situations would tend to cause a company to have more debt in its capital structure?a) Tangible assets to serve as collateralb) Most expenses are for employee compensationc) High levels of unearned revenued) Most expenses are for research and developmente) Stable operating cash flows
Which two situations would tend to cause a company to have more debt in its capital structure?a) Tangible assets to serve as collateralb) Most expenses are for employee compensationc) High levels of unearned revenued) Most expenses are for research and developmente) Stable operating cash flows
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Question
Which two situations would tend to cause a company to have more debt in its capital structure?
a) Tangible assets to serve as collateral
b) Most expenses are for employee compensation
c) High levels of unearned revenue
d) Most expenses are for research and development
e) Stable operating cash flows
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