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Interest Is Big Valley's Only Fixed Cash Charge

Question 31

Multiple Choice

  Interest is Big Valley's only fixed cash charge. Big Valley's market value of equity to book value of debt ratio = 1.5.   Big Valley is collecting their receivables about ________ than the typical firm. A) 22 percent more quickly B) 12 percent more quickly C) 17 percent more slowly D) 12 percent more slowly E) 16 percent more quickly
Interest is Big Valley's only fixed cash charge.
Big Valley's market value of equity to book value of debt ratio = 1.5.
  Interest is Big Valley's only fixed cash charge. Big Valley's market value of equity to book value of debt ratio = 1.5.   Big Valley is collecting their receivables about ________ than the typical firm. A) 22 percent more quickly B) 12 percent more quickly C) 17 percent more slowly D) 12 percent more slowly E) 16 percent more quickly
Big Valley is collecting their receivables about ________ than the typical firm.


A) 22 percent more quickly
B) 12 percent more quickly
C) 17 percent more slowly
D) 12 percent more slowly
E) 16 percent more quickly

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