Firms with a lot of debt offer their managers greater flexibility to make value enhancing capital expenditures when opportunities "suddenly" arise.

Name: Firms with a lot of debt offer their managers greater flexibility to make value enhancing capital expenditures when opportunities "suddenly" arise.
Brand: Quizplus
Rating: 4.7 (59 reviews)

Question

Quizplus · Accepted Answer

Firms with a lot of debt have higher financial obligations, which can limit their flexibility and available resources to invest in new opportunities, as they need to prioritize debt repayments.

Firms with a Lot of Debt Offer Their Managers Greater