Author Question: With subordinated debentures, payment of interest by a firm is required only when earnings are ... (Read 130 times)

panfilo

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With subordinated debentures, payment of interest by a firm is required only when earnings are available.
 
  Indicate whether the statement is true or false

Question 2

In developing the cash flows for an expansion project, the analysis is the same as the analysis for replacement projects where ________.
 
  A) all cash flows from the old assets are equal
  B) prior cash flows are irrelevant
  C) all cash flows from the old asset are zero
  D) cash inflows equal cash outflows



joechoochoy

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Answer to Question 1

FALSE

Answer to Question 2

C



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