Short-term financing is normally cheaper

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Reference no: EM132051186

1. Short-term financing is normally cheaper than long-term financing because it:

a. is less risky for the borrower

b. has interest costs which are certain

c. has higher transaction costs

d. usually has lower interest rates than long-term financing

2. All of the following are characteristics of a Stock, except?

a. Form of capital

b. Vote directly for management

c. Entitlement to equity

d. Entitlement to stock dividends (if paid)

Reference no: EM132051186

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