IOWA FIN341 Week 2 Discussion (dq1+dq2) Latest 2020 JUNE

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Question

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FIN341 Corporate Financial Management

Week 2 Discussion

DQ1 List the three assumptions that lie behind the Modigliani-Miller theory in a world without taxes. Are these assumptions reasonable in the real world? Explain.

DQ2 Is there an easily identifiable debt–equity ratio that will maximize the value of a firm? Why or why not?

 

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