An issue of new shares to the public must have: ( ) A: a prospectus attached. B: an underwriter. C: detailed documents called covenants. D: a memorandum of understanding in place.

A firm is most likely to structure a lease as an operating lease rather than a capital lease, when it:（） A: has a high debt-to-equity ratio. B: is very profitable. C: does not have debt covenants.