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Dividend reinvestment plans are

Dividend reinvestment plans permit the stockholder to reinvest dividends as they are received.​

If a firm issues long‑term debt and uses the proceeds to retire short‑term debt, the current ratio is unaffected.​

Debt instruments subject their owners to risk from​ 1. loss of purchasing power 2. higher credit ratings 3. default

If profit margins increase as sales increase, the need for external finance is reduced.​

A major difference between the net present value and internal rate of return is the interest factor.​

If a firm has retained earnings, it has an equal amount of cash.​

A major difference between the net present value and internal rate of return is the interest factor.​

In general, banks prefer loans that stress liquidity and safety.

In general, banks prefer loans that stress liquidity and safety.