The lower risk nature of longminusterm debt in a firms, Ask an Expert

Finance

The lower risk nature of long−term debt in a? firm's capital structure is due to the fact that?

A. creditors have a higher position in the priority of claims.

B. dividend payments are taxminus−deductible.

C. equity capital has a fixed return.

D. the equity holders are the true owners of the firm

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M92265008

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