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Virtually all companies including GOOG, MSFT, FB take on same amount of debt as their cash on hand. The thing is that even at 5-7% interest rate, it is fairly e
by sytelus 8y ago
Virtually all companies including GOOG, MSFT, FB take on same amount of debt as their cash on hand. The thing is that even at 5-7% interest rate, it is fairly easy to find use of money that easily pays off interest and leaves money in hand. So if you have X dollars, you borrow again it to get another $X. Your net revenue would typically increases by billion or two dollars.