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Which One of These Represents an Indirect Cost of Financial

Question 10

Multiple Choice

Which one of these represents an indirect cost of financial distress?


A) Court fees paid to a bankruptcy court
B) Legal fees paid to bankruptcy attorneys
C) Additional accounting fees incurred by a firm in preparation for a liquidation
D) A firm's supplier requiring payment in cash rather than offering its normal credit terms
E) The expense incurred from hiring a consultant to evaluate a firm's dissolution options

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