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Author Question: When agency and bankruptcy costs are considered, the optimal capital structure has a debt level where (Read 89 times)

mspears3

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on: Apr 25, 2021
When agency and bankruptcy costs are considered, the optimal capital structure has a debt level where
◦ bankruptcy costs are maximized.
◦ the debt/equity ratio is 2:1.
◦ the cost of equity equals zero.
◦ the cost of debt equals the cost of equity.
◦ the sum of agency and bankruptcy costs equal the benefits of using debt.
Corporate Finance Online ¦ Eakins, McNally ¦ 2nd Edition
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Marked as best answer by mspears3 on Apr 25, 2021

Silverbeard98

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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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mspears3

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

amandalm

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

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