Respuesta :
To pay a higher interest rate, a lower relative stock price, and a higher cost of funds than its competitors
Answer:
if one companies are at high risk than other in peer-group then that company has to do following:
1) reliable to submit an interest rate more than a competitor having a low risk
2)rate of relative stock should be less than the competitor having a low risk
3) cost of funds should be of high amount than competitor having a low risk
Explanation:
In a peer groups, companies that share the same business and are in competition with each other are added. if one companies are at high risk than other in peer-group then that company has to do following:
1) reliable to submit an interest rate more than a competitor having a low risk
2)rate of relative stock should be less than the competitor having a low risk
3) cost of funds should be of high amount than competitor having a low risk
