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Other Fields Homework Help Finance Topic started by: kolitchko on May 7, 2018



Title: Why are corporations more likely to raise funds externally by debt instead of equity?
Post by: kolitchko on May 7, 2018
Why are corporations more likely to raise funds externally by debt instead of equity?
A) moral hazard is less of a problem with debt contracts
B) transactions costs tend to be higher in the stock market than bond market
C) to avoid paying dividends
D) interest rates tend to be lower than dividend rates


Title: Re: Why are corporations more likely to raise funds externally by debt instead of equity?
Post by: Wars-Like-This on May 7, 2018
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