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During the pandemic, many firms have experienced big losses. Say that this applies to your firm
and as a result of this, you have significant tax rebates carried forwards; meaning that you will
not need to pay corporate taxes for four years. Your firm now wishes to take advantage of post-
pandemic growth opportunities and requires funding. Would you recommend the use to debt or
equity to fund this investment?

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During the pandemic- many firms have experienced big losses- Say that.pdf

  • 1. During the pandemic, many firms have experienced big losses. Say that this applies to your firm and as a result of this, you have significant tax rebates carried forwards; meaning that you will not need to pay corporate taxes for four years. Your firm now wishes to take advantage of post- pandemic growth opportunities and requires funding. Would you recommend the use to debt or equity to fund this investment?