Interest rate risk is of concern to a firm's financial officer, because (Select the best choice below.) A. it is more difficult to issue securities when interest rates are low. B. changes in...

Interest rate risk is of concern to a firm's financial officer, because (Select the best choice below.)

it is more difficult to issue securities when interest rates are low.

changes in interest rates affect the expected return of financial instruments.

federal government taxation increases as interest rates rise, reducing the cash available to the firm.

inflationary periods may reduce the real earnings of the firm.

B and D

Jun 06, 2022

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