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Author Question: If the assumption of financial distress costs is added, then Modigliani and Miller (with taxes) ... (Read 57 times)

sabina

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on: Apr 25, 2021

Question 1

Who is paid last in the event of bankruptcy?
◦ Shareholders
◦ Secured Bond Holders
◦ Banks
◦ Debenture Holders
◦ Suppliers

Question 2

If the assumption of financial distress costs is added, then Modigliani and Miller (with taxes) predicts that the optimal capital structure is 100% debt.
◦ true
◦ false
Corporate Finance Online ¦ Eakins, McNally ¦ 2nd Edition
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Marked as best answer by sabina on Apr 25, 2021

firehawk60

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Reply #1 on: Apr 25, 2021
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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sabina

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Reply 2 on: Apr 25, 2021
Great answer, keep it coming :)

chereeb

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  • Posts: 326
Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

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