In terms of tax benefits, which source of finance is preferred by an organization? Options: A . &nbsp Preference shares B . &nbsp Debentures C . &nbsp Equity shares D . &nbsp None of the above

In terms of tax benefits, which source of finance is preferred by an orga

Question -

In terms of tax benefits, which source of finance is preferred by an organization?

Options:

A . Preference shares

B . Debentures

C . Equity shares

D . None of the above

Answer: Option B
:
B

Debentures, as interest paid on them is tax deductible, which would benefit the organization as compared to preference and equity shares.

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