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20. MM Proposition l with corporate taxes states that: I) Capital structure can affect firm value by an amount that is equal to the present
20. MM Proposition l with corporate taxes states that: I) Capital structure can affect firm value by an amount that is equal to the present value of the interest tax shield II) By raising the debt-to-equity ratio, the firm can lower its taxes and thereby increase its total value Ill) Firm value is maximized by using an all-equity capital structure lonly ll only I" only land || 9999
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