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Author Question: Junk bonds typically have an interest rate of between 3 and 5 percent more than AAA-rated long-term ... (Read 19 times)

sjones

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on: Jul 10, 2018
Junk bonds typically have an interest rate of between 3 and 5 percent more than AAA-rated
  long-term debt.
 
  Indicate whether the statement is true or false

Question 2

The best way to adjust for the presence of fixed costs when using the simplified approach for pro forma income statement preparation is ________.
 
  A) to proportionately vary the fixed costs with the change in sales
  B) to adjust for projected fixed-asset outlays
  C) to disproportionately vary the costs with the change in sales
  D) to break the firm's historical costs into fixed and variable components


ktidd

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Reply #1 on: Jul 10, 2018
Answer to Question 1

TRUE

Answer to Question 2

D


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