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1.) Explain how the choice of financing and the pecking order theory can signal the quality of a project. 2.) Explain optimal capital structure for
1.) Explain how the choice of financing and the pecking order theory can signal the quality of a project.
2.) Explain optimal capital structure for the Miller '77 theory.
2a.) Is this optimal for capital structure for a firm or an economy?
3.) Explain the 3 components of the financial distress model
3a.) Does it result in optimal capital structure?
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