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Why would a corporation rather borrow money and pay interest than sell stock and then pay dividends?

Interest is tax deductible, so amounts paid lower the tax they would have otherwise paid. Dividends are paid with after tax earnings..there is no tax deduction for them. Of course, someone receiving interest pays tax on it at their ordinary income rate, and someone receiving dividends pays tax at the capital gain rate, which is lower.


Under what circumstance would it be advisable to borrow money to take a cash discount?

Under what circumstances would it be advisable to borrow money to take a cash discount


Under what circumstances would it be advisable to borrow money to take a cash discount?

Under what circumstances would it be advisable to borrow money to take a cash discount?


What do you call a bank employee who helps customers borrow money?

A bank employee that helps customers borrow money would be called a loan officer.


Can you borrow money from your pension plan?

Can you borrow against money from your pension plan?


Can I borrow money from a lawyer?

Well, you can borrow money from anyone if they agree to loan it to you.


Can I borrow money from my HSA account?

No, you cannot borrow money from your HSA account.


Can I borrow some money, mom?

May I borrow some money from you, mom?


If I borrow money knowing it has interest - is it up to me to pay it and if I do not is that stealing?

If you borrow money on agreed terms, including the obligation to pay interest, then choose not to pay the interest, that would be stealing.


Why do farmers borrow money from the money lenders?

farmers have to borrow money to purchase seeds,fertilizers and pesticides.


Can you borrow money from your IRA account?

No, you cannot borrow money directly from your IRA account.


When you buy U.S. government savings bond your doing so under the power given to the congress to?

The power that is given to congress is the ability to borrow money.