The cost of preferred stock is typically higher than the cost of ...

[mynx]

The cost of preferred stock is typically higher than the cost of long-term debt (bonds) because the cost of long-term debt (interest) is tax deductible.
 
  Indicate whether the statement is true or false

Question 2

The three major cash flow components include the initial investment, nonoperating cash flows, and terminal cash flow.
 
  Indicate whether the statement is true or false

[ju]

Answer to Question 1

TRUE

Answer to Question 2

FALSE

[mynx]

Excellent

[Alyson.hiatt@yahoo.com]

Gracias!