According to the Pecking Order Theory,which of the Following Is

question 178

Multiple Choice

According to the pecking order theory,which of the following is the order in which corporations use different financing sources to fund investment projects?

• A)retained earnings,equity,debt
• B)retained earnings,debt,equity
• C)debt,retained earnings,equity
• D)equity,retained earnings,debt

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Definitions:

Evaluative Role

The function of assessing or judging the value, quality, or importance of something based on established criteria.

Analysis

Identifies the intended and actual inferential relationships among statements, questions, concepts, descriptions, or other forms of representation intended to express belief, judgment, experiences, reasons, information, or opinions.

Justified

Having valid reasons or evidence to support a claim, action, or belief.

Assume

To take something as true or as a given without verification or proof.