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Dividends come at the expense of

An increase in the cost of capital will

If a company defaults on its bonds,

Accountants suggest that assets

A decrease in the cost of an investment will increase its net present value.​

Equipment trust certificates issued by a firm should be safer than its debentures.​

A stock dividend has no impact on a firm’s liabilities or the price of its stock.​

A firm will prefer to issue preferred stock rather than debt because the dividend is tax deductible.

​The future value of a dollar 1. increases with lower interest rates 2. increases with higher interest rates 3. increases with longer periods of time 4. decreases with longer periods of time

A firm may initially increase its use of debt without increasing the cost of capital.