Which of the following is true?
A)Equity financing is always better than debt financing.
B)Equity financing requires dividends to be paid.
C)Dividends are tax-deductible.
D)If a corporation has only one class of stock,it is common stock.

Question

Quizplus · Accepted Answer

If a corporation has only one class of stock, it is typically common stock. Option A is not always true as it depends on the specific situation and company. Option B is false as dividends are not required with equity financing. Option C is false as dividends are not tax-deductible.

Which of the Following Is True