MCQOPTIONS
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| 1. |
In a situation where share prices are generally depressed because long-term interest rates are expected to rise in future, a large firm looking for long-term finance would normally consider: |
| A. | issuing long-dated bonds. |
| B. | making a new share issue. |
| C. | borrowing from its bank on overdraft. |
| D. | borrowing in the interbank market. |
| Answer» B. making a new share issue. | |