The less fixed-cost debt (financial leverage) a firm uses, the greater will be its risk and return

In response to competition from the Eurobond market, the SEC adopted _____ in 1990,

which allows firms to issue bonds in the U.S. market with minimal regulatory red tape as long as they are sold only to qualified investors (e.g., financial institutions). a. the Nonregistration Exception b. Qualified Investors Rule (QIR) c. Rule 99B d. Rule 144A

________ is purchasing goods and services from outside vendors

A) Insourcing B) Outsourcing C) Incremental cost D) Full cost of product E) Business function cost