How would you respond to the given policy

Reference no: EM131527778

Question: Assume that the president of Crest Brewery made the following statement to shareholders in Crest's most recent annual report: "The founding family and majority shareholders of the company do not believe in using debt to finance future growth. The founding family learned from hard experience during Prohibition and the Great Depression that debt can cause loss of flexibility and eventual loss of corporate control. The company will not place itself at such risk. As such, all future growth will be financed either by stock sales to the public or by internally generated resources." As a public shareholder of this company, how would you respond to this policy?

Reference no: EM131527778

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