With perfect capital markets, does the possibility of bankruptcy put debt financing at a disadvantage?

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Corporate Finance

ISBN: 9780132992473

3rd Edition

Authors: Jonathan Berk, Peter DeMarzo

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Question Posted: Mar 07, 2024 01:00 AM

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With perfect capital markets, does the possibility of bankruptcy put debt financing at a disadvantage?

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In a theoretical world with perfect capital markets bankruptcy costs would be minimal and informatio...View the full answer

Corporate Finance

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