Using Retained Earnings as a Source of Equity Financing Has

Using retained earnings as a source of equity financing has one major disadvantage,which is

A) the shareholders' dividends may decline.
B) the firm will have to pay interest to common shareholders.
C) the price of the company's stock will increase because the company is using sound financial planning.
D) the firm will not have to borrow money.
E) there are actually no disadvantages in using retained earnings as a source of equity.

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