One Advantage to Debt Financing Over Equity Financing Is That

One advantage to debt financing over equity financing is that

A) debt financing can be repaid when the cor- poration has a surplus.
B) interest paid on debt financing may be tax deductible.
C) debt financing maintains a lower debt-to- equity ratio.
D) interest is paid on debt securities at the dis- cretion of the directors and need not be repaid if the corporation does not perform as well as expected.