Prior to beginning work on this discussion, read Chapter 16: Long-Term Debt and Lease Financing in your textbook.
Corporate debt has been increasing dramatically in recent years. Most people view debt in a negative light. However, with a little balance, debt can be beneficial. For this discussion, address the following:
Discuss the benefits and drawbacks of corporate debt.
Explain how financial managers can assess the company’s debt structure, and determine how reasonable it is.
Describe the factors one should consider when deciding if a company’s debt should be increased or decreased.
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