Commerce Short Question | Gkseries

Sports GK Questions and Answers 2024 (Latest Updated)

Awards & Honours GK Questions 2024 (Latest Updated)

Question

Which of the following is an implicit cost of increasing proportion of debt of a company ?

A P.E. Ratio of the company would increase.
B Rate of return of the company would decrease
C Tax-shield would not be available on new debts.
D Equity shareholders would demand higher return

Answer & Explanation

Answer:Equity shareholders would demand higher return

Advertisement
Article and Schedule Quiz Start Test!
DOWNLOAD CURRENT AFFAIRS PDF FROM APP

Random GK Questions

Q. Who discovered the Cholera-bacillus?
Q. Myopia is a defect of vision caused by eye-ball becoming larger so man cannot see:
Q. As a person becomes older, his blood-pressure generally:
Q. 'Heir' has been defined under:
Q. Which of the following is an indicator of air pollution?
Q. To whom the Speaker of Lok Sabha has to address his resignation letter?
Assam Direct Recruitment Test Series

Teacher Eligibility Test

Assam Direct Recruitment Test Series