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प्रश्न
What may be the effect of a fresh issue of equity on control?
पर्याय
It requires principal to be repaid at the agreed time
It normally does not dilute ownership control
It creates compulsory interest payments
It may dilute control of existing shareholders
MCQ
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उत्तर
A fresh issue of equity may dilute the ownership and control of existing shareholders. Control considerations therefore affect the choice between equity and debt.
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