Considering each action independently and holding other things constant, which of the following would DECREASE new debt financing needed?
A)A decrease in the dividend payout ratio
B)A decrease in the tax rate
C)A decrease in fixed assets
D)Both a & b
E)All of the above

Question

Quizplus · Accepted Answer

A decrease in the dividend payout ratio, a decrease in the tax rate, and a decrease in fixed assets would all decrease new debt financing needed.

Considering Each Action Independently and Holding Other Things Constant, Which