1.

Which of the following statements is correct for an aggressive financing policyfor a firm relative to a former conservative policy?

A. the firm will use long-term financing to finance all fixed and current assets.
B. the firm will see an increase in its expected profits.
C. the firm will see a decline in its risk profile.
D. the firm will need to issue additional common stock this period to finance the assets.
Answer» C. the firm will see a decline in its risk profile.


Discussion

No Comment Found