What will be the effect of reduction in the cost of capital on-11014
What will be the effect of reduction in the cost of capital on the accounting breakeven level of revenues?
This multiple choice question (MCQ) is related to the book/course vu fin622 Corporate Finance. It can also be found in vu fin622 Final Term - Quiz No.14.
What will be the effect of reduction in the cost of capital on the accounting breakeven level of revenues?
It raises the break-even level.
It reduces the break-even level.
It has no effect on the break-even level.
This cannot be determined without knowing the length of the investment horizon.