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Author Question: If a firms marginal tax rate is decreased, and other things held constant, this would lower the cost ... (Read 94 times)

am7272

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on: Aug 7, 2023

Question 1

If a firm cannot earn on its reinvested earnings at least as much as its shareholders’ required rate of return, the firm should continue to reinvest the earnings in the hope of further growth.

◦ true
◦ false

Question 2

If a firm’s marginal tax rate is decreased, and other things held constant, this would lower the cost of debt used to calculate its WACC.

◦ true
◦ false
Financial Management: Theory and Practice ¦ Brigham, Ehrhardt, Gessaroli, Nason ¦ 4th Edition
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Marked as best answer by am7272 on Aug 7, 2023

lhn821

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Reply #1 on: Aug 7, 2023
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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am7272

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Reply 2 on: Aug 7, 2023
Great answer, keep it coming :)

momolu

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

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