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1. What is the difference between a primary market and secondary market? 2. If it makes tax sense to finace a business with debt, why

1. What is the difference between a primary market and secondary market?

2. If it makes tax sense to finace a business with debt, why do firms typically barrow less than half of their capital, i.e. what are the negatives of debt finacing?

3. What are the advantages and disadvantages of more rather than less finacial leverage?

Thank you.

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