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Commerce Short Question | Gkseries

Q.

Cost of Equity Share Capital is more than cost of Debt because :

[A] Equity shares are not easily saleable
[B] Equity shares do not provide the fixed dividend rate
[C] Generally the face value of equity shares is less than the face value of debentures
[D] Equity shares have high risk than debts
Answer & Explanation

Answer: Equity shares have high risk than debts

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