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1.The Pecking Order Theory of capital structure suggests that: I.All firms will use some debt-financing to benefit from interest tax shields. II.Some firms may rationally

1.The Pecking Order Theory of capital structure suggests that:

I.All firms will use some debt-financing to benefit from interest tax shields.

II.Some firms may rationally choose to have zero debt-financing.

III.Issuing equity is firms' least desired financing option.

A.I only

B.II only

C.III only

D.I and III

E.II and III

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