The decision of how to raise additional funds needed to support sales growth is based on several factors including
A)firm's ability to handle additional debt.
B)conditions in the equity markets.
C)firm's current capital structure.
D)existing debt covenants.
E)All of the above.

Question

Quizplus · Accepted Answer

All of the factors listed (ability to handle debt, equity market conditions, current capital structure, and existing debt covenants) should be considered when making a decision about how to raise additional funds. Each of these factors can have an impact on the cost and availability of different financing options, and ignoring any one of them could lead to suboptimal financing decisions. Therefore, it is important to weigh all of these factors together when making a decision.

The Decision of How to Raise Additional Funds Needed to Support