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Is debt good or bad in given cases

Task: Is debt good or bad in this case?

A. Corporate debt has expanded dramatically since World War II.

B. The rapid expansion of corporate debt is the result of:

1. Rapid business expansion.
2. Inflation.
3. At times, inadequate funds generated from the internal operations of business firms.

C. Corporations have suffered a decline in interest coverage in the last two decades.

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Finance Basics: Is debt good or bad in given cases

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