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Which of the following statements concerning financing operations is false?

A. Issuing stock rather than bonds payable dilutes ownership.

B. Selling stock will decrease earnings per share.

C. Earnings per share will be higher if bonds are issued rather than if stock is issued.

D. debt financing raises capital but incurs no additional liabilities or interest expense.

 

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M939605

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