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    Principles of Finance
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    Exam 14: Capital Structure and Dividend Policy Decisions
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    An All Equity Firm Has Some Risk Inherent in Its
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An All Equity Firm Has Some Risk Inherent in Its

Question 43

Question 43

True/False

An all equity firm has some risk inherent in its operations.When the firm decides to finance some of its operations with debt,it exposes itself to financial risk and it increases its business risk.

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