In the Modigliani-Miller equation, why is the market value of the levered firm greater than the market

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In the Modigliani-Miller equation, why is the market value of the levered firm greater than the market value of an equivalent unlevered firm?

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International Financial Management

ISBN: 978-0078034657

6th Edition

Authors: Cheol S. Eun, Bruce G.Resnick

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Question Posted: Mar 13, 2012 05:54 AM

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In the Modigliani-Miller equation, why is the market value of the levered firm greater than the market

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The levered firm has a greater market value becaus...View the full answer

International Financial Management

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