Debt finance and equity finance

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Ackee Tech, a computer manufacturer, is seeking to raise funds through debt finance and equity finance in 2019. In the same year, the firm is expected to borrow funds from the Regional Commercial Bank to start a new production facility. The new facility will be used to produce wearable fitness trackers that never need to be charged. You are considering buying stock or bonds in Ackee Tech. Would you prefer to be a stockholder of a bondholder? Explain your decision in no more than four sentences.

Reference no: EM131695326

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