Which One of the Following Statements Regarding Stock Issuances Is

question 100

Multiple Choice

Which one of the following statements regarding stock issuances is true?

• A) They are not always better than debt for raising capital.
• B) Their effect on stock price is not a concern.
• C) They do not require a company to share future earnings with new shareholders.
• D) Dilution of ownership is not a special concern.
• E) Issuing stock when interest rates are low is a sound strategy.

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