22. Too much debt is disadvantageous due to a. High tax benefits b. Indirect bankruptcy costs c. low return on equity d. None of the above 23. In Turkish capital markets, a complete public to private buyout rarely happens because a. No acquirer wants complete control b. Squeeze-out provision is not adequate c. Small shareholders hang on to their shares d. None of the above 24. A company with a BB rating has acost of debt and probability of default than a company with a BBB rating a. Lowerlower b. Higherlower c. Higher higher d. Equalequal e. None of the above 25. LBO model, not the DCF model, is used for a. Third party valuation b. Calculating the maximum equity for private equity acquisitions c. Measuring ROE d. Seller's perceived value 26. Carlyle group has invested incompanies in Turkey through itsfund. a. 3, MENA b. 5, Turkey c. 6, MENA d. 6, Turkey e. None of the above 27. Optimal debt equity ratio is equivalent to a. Lowest taxes b. Highest equity value c. Highest taxes d. Highest enterprise value e. Lowest debt value 28. Which of the following characteristics does a good LBO candidate NOT have? a. Steady revenues and cashflows b. Debt capacity c. High capex needs d. Good management e. All of the above