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Equity and Debt Financing Both Have Their Advantages and Disadvantages

Question 26

Multiple Choice

Equity and debt financing both have their advantages and disadvantages.Which of the following pairs of phrases below accurately reflect the advantages of both types of financing?  Equity and debt financing both have their advantages and disadvantages.Which of the following pairs of phrases below accurately reflect the advantages of both types of financing?        \begin{array}{|l|l|l|} \hline & \text { Debt Financing } & \text { Equity Financing } \\ \hline \text { D)  } & \text { Dividends are optional } & \text { Interest is tax deductible }\\\hline  \end{array}  A) Option A B) Option B C) Option C D) Option D  Equity and debt financing both have their advantages and disadvantages.Which of the following pairs of phrases below accurately reflect the advantages of both types of financing?        \begin{array}{|l|l|l|} \hline & \text { Debt Financing } & \text { Equity Financing } \\ \hline \text { D)  } & \text { Dividends are optional } & \text { Interest is tax deductible }\\\hline  \end{array}  A) Option A B) Option B C) Option C D) Option D  Equity and debt financing both have their advantages and disadvantages.Which of the following pairs of phrases below accurately reflect the advantages of both types of financing?        \begin{array}{|l|l|l|} \hline & \text { Debt Financing } & \text { Equity Financing } \\ \hline \text { D)  } & \text { Dividends are optional } & \text { Interest is tax deductible }\\\hline  \end{array}  A) Option A B) Option B C) Option C D) Option D  Debt Financing  Equity Financing  D)   Dividends are optional  Interest is tax deductible \begin{array}{|l|l|l|}\hline & \text { Debt Financing } & \text { Equity Financing } \\\hline \text { D) } & \text { Dividends are optional } & \text { Interest is tax deductible }\\\hline \end{array}


A) Option A
B) Option B
C) Option C
D) Option D

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