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  3. Study Set
    Fundamentals of Corporate Finance
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    Exam 16: Financial Leverage and Capital Structure Policy
  5. Question
    Which Form of Financing Do Companies Prefer to Use First
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Which Form of Financing Do Companies Prefer to Use First

Question 69

Question 69

Multiple Choice

Which form of financing do companies prefer to use first according to the pecking-order theory?


A) Regular debt
B) Convertible debt
C) Common stock
D) Preferred stock
E) Internal funds

Correct Answer:

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