Question
If a firm has annual debt obligations of $50 to the bondholders and generates cash flow of $40, how much will the bondholders will receive?
Multiple choice question.
40
55
20
50
Multiple choice question.
40
55
20
50
Answers
GPT-4o mini
If the firm has annual debt obligations of $50 to the bondholders but only generates cash flow of $40, the bondholders will receive whatever cash flow the firm generates, which is $40.
So, the correct answer is:
**40**
So, the correct answer is:
**40**