The tax deductibility of interest expense on bonds makes the effective cost of borrowing less than the amount of cash paid for interest.
Answer the following statement true (T) or false (F)
True
Because of the tax benefits of interest, the effective cost of borrowing is less than the cash paid for interest. This is a benefit of debt financing compared with equity financing.
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A set of tools that are used to store, manage, and present information sources, such as customer information, documents, policies, procedures, and incident resolutions are called a ____.
A. knowledge base B. knowledge management system C. problem database D. known error database
A check that has been outstanding for more than ________ is considered stale
A) six months B) one year C) three months D) nine months
A firm has an earnings retention ratio of 40%. The stock has a market capitalization rate of 15% and an ROE of 18%. What is the stock's P/E ratio?
A. 12.82 B. 7.69 C. 8.33 D. 9.46
Char-Glo Industries contracted with Evergreen Lawn Service to mow and trim the company's lawn. In the contract, Char-Glo included a clause prohibiting Evergreen from delegating its duties. Courts will ordinarily not enforce such a clause.
a. true b. false