【中山大学431金融 罗斯 公司理财】Topic_13_E2.pdfVIP

Topic 13, Exercise 2 Use of Debt in the Capital Structure Outstanding corporate debt increased by 46% between 1995 and 1999. This increase prompted some observers to express concern about the financial health of the nonfinancial corporate sector. An article entitled, “Rapidly Rising Corporate Debt: Are Firms Now Vulnerable to and Economic Slowdown,” was published by the Federal Reserve Bank in June of 2000. The relevance of this analysis to current conditions is very interesting. After reading the article, address the following questions: