Author Question: The Modigliani and Miller hypothesis suggests that capital structure doesn't matter. All of the ... (Read 394 times)

shofmannx20

  • Hero Member
  • *****
  • Posts: 562
The Modigliani and Miller hypothesis suggests that capital structure doesn't matter. All of the
  following conditions need to be met for this hypothesis to be true EXCEPT
 
  A) all corporate net income is paid out as dividends.
  B) corporate income is not subject to taxation.
  C) capital structure consists only of stocks and bonds.
  D) securities are traded in perfect or efficient markets.

Question 2

Floating lien agreements are the least secure form of inventory collateral.
 
  Indicate whether the statement is true or false


nekcihc358

  • Sr. Member
  • ****
  • Posts: 327
Answer to Question 1

A

Answer to Question 2

TRUE



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Pubic lice (crabs) are usually spread through sexual contact. You cannot catch them by using a public toilet.

Did you know?

Studies show that systolic blood pressure can be significantly lowered by taking statins. In fact, the higher the patient's baseline blood pressure, the greater the effect of statins on his or her blood pressure.

Did you know?

Common abbreviations that cause medication errors include U (unit), mg (milligram), QD (every day), SC (subcutaneous), TIW (three times per week), D/C (discharge or discontinue), HS (at bedtime or "hours of sleep"), cc (cubic centimeters), and AU (each ear).

Did you know?

Cancer has been around as long as humankind, but only in the second half of the twentieth century did the number of cancer cases explode.

Did you know?

The word drug comes from the Dutch word droog (meaning "dry"). For centuries, most drugs came from dried plants, hence the name.

For a complete list of videos, visit our video library