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What is an advantage of using equity to support the subsidiary

What is an advantage of using equity to support the subsidiary


Multinational Capital Structure Decision at the Sports Exports Company
1. What is an advantage of using equity to support the subsidiary? What is a disadvantage?
2. If Jim decided to use long-term debt as its primary form of capital to support this subsidiary,
should he use dollar-denominated debt or pound-denominated debt?
3. How can the equity proportion of this firm- capital structure increase over time after it is more
established?




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23 Apr 2016

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    What is an advantage of using equity to support the subsidiary

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