The cost of external equity capital is greater than the cost of retained earnings because of

A) increasing marginal tax rates. B) greater risk for shareholders.
C) flotation costs on new equity. D) higher dividends.

C

Business

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___________ believe that a change in the money supply first causes a change in interest rate levels, which, in turn, alters the demand for goods and services.

a. Monetarists b. Keynesians c. Neo Classicalists d. none of the above

Business

Bank ATM charges may be substantial if you make many transactions monthly and use out-of-network machines

Indicate whether the statement is true or false.

Business