Debt is considered to be cheaper than equity because for borrower… - Vidyadip

MCQ

Debt is considered to be cheaper than equity because for borrowers, interest on debentures is a $.........$ while dividend on equity is not:

A
exempt from tax.
✓
deductible expenditure.
C
non$-$deductible expenditure.
D
none of the above

✓

Answer

Correct option: B.

deductible expenditure.

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