Which of the Following Is Not a Reason for the Issuance

question 30

Multiple Choice

Which of the following is not a reason for the issuance of long-term liabilities?

• A) Debt financing offers an income tax advantage.
• B) Debt financing dilutes ownership interest.
• C) Debt may be the only available source of funds.
• D) Debt financing may have a lower cost.

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Definitions:

Hijackers

Individuals or groups that unlawfully seize control of a vehicle, such as a plane or ship, often to meet certain demands.

Religious/Political

Pertains to the intersection of religious beliefs and practices with political institutions and ideologies.

Functionalist Perspective

A sociological approach that analyzes society by focusing on how its various parts (institutions, traditions, norms) work together to maintain stability and social order.

Deviance

Behavior that is recognized as violating expected rules and norms.