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Commerce · Q533

Business Finance

Graduate and Post Graduate · Commerce · question 533

Q533

Which of the following statement(s) is/are correct?

A.
The cost of retained earnings is always less than the cost of external equity
B.
The cost of external equity is always less than the cost of retained earnings
C.
The cost of retained earnings is power than the cost of external equity in presence of floatation costs
Answer
D.
None of the above

Answer: Option C

Solution

Answer: Option C
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