Which of the following is a good reason for a company to have higher than average debt ratios
A) The company's cash flows are difficult to predict.
B) The company generates little taxable income.
C) Customer support is an important aspect of the company's business.
D) The company faces high marginal tax rates.
Answer: D
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A) product costs B) profits C) competition D) elements of the product mix E) consumer perceptions of value
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