Top Posters
Since Sunday
y
2
m
2
m
2
u
2
m
2
B
2
M
2
e
2
k
2
N
2
y
2
m
2
Home Q & A Board Other Fields Homework Help Business
New Topic  
phoebe.lou phoebe.lou
wrote...
Go to Answer
Posts: 121
Rep: 0 0
2 years ago
Which of the following is a major difference between debt financing and equity financing?

▸ Equity financing has a specific maturity period, whereas debt financing usually has no specific maturity period.

▸ Repayment of debt financing is not linked to organizational performance, unlike equity financing.

▸ Equity holders have primary claims on assets unlike debt financiers.

▸ Payments to equity holders reduce taxable income, whereas debt payments are not tax deductible.

▸ Debt financing is used to cover long-term expenses, whereas equity financing is used for current expenses.
Textbook 
Business in Action

Business in Action


Edition: 9th
Authors:
Read 159 times
1 Reply
Replies
Answer verified by a subject expert
schoolkidchuckschoolkidchuck
wrote...
#1
Posts: 140
Rep: 0 0
2 years ago
Sign in or Sign up in seconds to unlock everything for free
More solutions for this book are available here
1

Related Topics

phoebe.lou Author
wrote...

2 years ago
Good timing, thanks!
mikey3091
wrote...

Yesterday
Just got PERFECT on my quiz
riptide
wrote...

2 hours ago
I appreciate what you did here, answered it right Smiling Face with Open Mouth
New Topic      
Quick Reply
Explore
Post your homework questions and get free online help from our incredible volunteers
  548 People Browsing
Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook
Live Chat
Related Images
  
 1498
  
 103
  
 11776
Your Opinion
What's your favorite funny biology word?
Votes: 401
Previous poll results: Which industry do you think artificial intelligence (AI) will impact the most?