LS2522: Comment on any four of the following statements:

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Question: Comment on any four of the following statements:

(a) Retained earnings do have a cost

(b) Cash budget include all income and all expenses only

(c) High operating leverage is not always desirable.

(d) Weighted average cost of capital would always be higher than the simple cost of capital if market value weights are used.

(e) very high debt-equity ratio is not desirable

 


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