Question #8050192

Finance...Please Help! Which one of the following is an example of a direct bankruptcy cost?

Operating at a debt-equity ratio that is less than the optimal ratio Reducing the dividend payout ratio as a means of increasing a firm's equity Forgoing a positive net present value project to conserve current cash Incurring legal fees for the preparation of bankruptcy filings Losing a key customer due to concerns over a firm's financial viability

2013-07-03 04:49:37

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