Most financial managers measure debt ratios from their companies book balance sheets. Many financial economists emphasize ratios

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Most financial managers measure debt ratios from their companies’ book balance sheets.

Many financial economists emphasize ratios from market-value balance sheets. Which is the right measure in principle? Does the trade-off theory propose to explain book or market leverage? How about the pecking-order theory?

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Principles Of Corporate Finance

ISBN: 9780077398040

10th Edition

Authors: Richard Brealey

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Question Posted: Jul 31, 2024 03:00 AM

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Most financial managers measure debt ratios from their companies book balance sheets. Many financial economists emphasize ratios

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Principles Of Corporate Finance

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