All things considered stable cash flows enable higher debt borrowing.

Que 2 Evaluate in terms of the framework, why it is appropriate to capitalize borrowing costs under certain circumstances?

Money market does not have any role in the development of capital market Select one: a. True O b. False

it say all answers above are incorrect, i need the yield on the debt percentage plz and thank u

Which one of the following elements of credit risk does not comprise Standalone Risk Default probability Loss given default Default correlation Migration risk

Which of the statements about the Arbitrage Pricing Theory MUST BE TRUE. I. There is only one systematic risk, the market risk. II. The market risk factor must be one of many systematic risk factors. III. Individual assets may have a positive or negative alpha A. I only B. II only C. III only D. None of the above

Leverage is gained when which of the following exists? O Return on assets is greater than the interest on borrowed funds O Interest coverage ration is greater than 1 O Interest coverage ratio is less than 1% O Interest on borrowed funds is greater than the return on assets

How does the efficient frontier change if we add the risk free asset into theportfolio of risky assets? Explain both the cases when borrowing at the riskfree is allowed and when it is not. Support your explanations with a graph.

Q.Which of the following is not true about maturity matching current asset financing? Select one: a. Temporary current assets will be financed using short term debt. b. It is easy to match equipment maturities with the maturity of debt instruments. c. The use of equity is difficult to classify as equity lacks a maturity date. d. Fixed assets and the permanent level of current assets are financed with long-term debt of varying maturities. e. All of the above are true about current asset financing.

The supply and demand for loans will increase when capital becomes more productive.   Select one: True False