The cost of preferred stock is greater than the cost of debt primarily as the result of the difference in tax treatment of dividends and interest.
Answer the following statement true (T) or false (F)
True
You might also like to view...
Your team has completed its analytical report for presentation to the board of directors. Which of the following should be checked in the final proofreading of the report?
a. Content, organization, and style b. Mechanics c. Format and layout d. All of the above
Discuss the three commonly viewed phases within the diagnostic process.
What will be an ideal response?
Marilyn and her sister Sharon opened a business that sold homemade bath products in decorative baskets
After many successful years, Marilyn wanted to hand down her part of the business to her daughter, Louise. But Sharon did not want to partner with Louise. Sharon insisted that Marilyn sell her Marilyn's share of the business. This situation reflects one of the three basic drawbacks of being a partnership. Indicate whether the statement is true or false.
A liability for a cash dividend does not exist until the directors declare a cash dividend.
Answer the following statement true (T) or false (F)