The correct option is (D): 5.5 percent
This refers to the growth projection by the International Monetary Fund (IMF) for India during the financial year, which was set at 5.5 percent for that specific period. These projections are based on various economic factors and global conditions.
List-I (Characteristic) | List-II (Concept) |
(A) More debt can be used if debt can be raised at a lower rate | (I) Cost of debt |
(B) Since interest is a deductible expense, cost of debt is affected by the tax rate | (II) Risk Consideration |
(C) If a firm’s business risk is lower, its capacity to use debt is higher and vice-versa | (III) Tax Rate |
(D) A public issue of equity may reduce the management’s holding in the company | (IV) Control |