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1. |
Consider the below mentioned statements: 1. A debt-equity ratio of 2:1 indicates that for every 1 unit of equity, the company can raise 2 units of debt. 2. The cost of floating a debt is greater than the cost of floating an equity issue. State True or False: |
A. | 1-True, 2-True |
B. | 1-False, 2-True |
C. | 1-False, 2-False |
D. | 1-True, 2-False |
Answer» E. | |