How would you respond to each Directors assessment of the financing decision?
Winfield Refuse Management, Inc.: Raising Debt vs. Equity
1. What are the characteristics of Winfield relevant to the issuance of debt?
How much debt can Winfield support?
2. How would you respond to each Directors assessment of the financing
decision? Consider both strengths and weaknesses of each assessment.
3. Using the criteria of control, flexibility, income, and risk, how would you
evaluate the choice of debt vs. equity in financing the acquisition of MPIS?
4. What is your final recommendation for Winfield financing the acquisition of MPIS?