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phoebe.lou phoebe.lou
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A year 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
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schoolkidchuckschoolkidchuck
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A year ago
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phoebe.lou Author
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A year ago
I appreciate what you did here, answered it right Smiling Face with Open Mouth
byehoe
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this is exactly what I needed
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This calls for a celebration Person Raising Both Hands in Celebration
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