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Profitable companies often prefer to issue debt rather than preference shares because
Normal Good
A good whose demand varies directly with income; nearly all goods are normal goods.
Demand
The measure of goods or services that consumers are inclined and able to procure at assorted prices during an established period.
Income
The financial earnings of an individual or entity, typically acquired through employment, business ventures, or other investments.
Quantity Demanded
The aggregate sum of a product or service that buyers are ready and capable of buying at a specific price level.
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