If a firm takes on ________ it may be downgraded by rating ...

[SGallaher96]

If a firm takes on ________ it may be downgraded by rating agencies, resulting in ________ interest payments.
 
  A) too much incremental debt; lower
  B) too much incremental debt; higher
  C) too little incremental debt; lower
  D) too little incremental debt; higher

Question 2

An example of an annuity is the interest received from bonds.
 
  Indicate whether the statement is true or false

[brbarasa]

Answer to Question 1

B

Answer to Question 2

TRUE