BUSINESS ADMINISTRATION
FINANCIAL MANAGEMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Keeping in view the high rate of Income Tax the company should give priority to ____ capital.
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Debt
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Equity
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Preference
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Owner
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Explanation:
Detailed explanation-1: -Keeping in view the high rate of income tax the company should not give priority to Equity and Preference because dividend is paid to Equity shareholders and Preference shareholders after company pays income tax which means payment of dividend does not help company in saving taxes.
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