Which of the following is true of companies in Japan with respect to their capital structures?
A) Companies in Japan are financed entirely through equity.
B) Companies in Japan use greater proportions of debt than others.
C) Dividends are taxed as income in Japan.
D) Equity monitoring costs are low in Japan.
E) Companies in Japan raise most of their corporate debt through publicly issued bonds.

Question

Quizplus · Accepted Answer

Japanese companies traditionally have higher debt ratios compared to companies in other countries, often relying more on bank loans and debt financing.

Which of the Following Is True of Companies in Japan