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5. Signaling What is signaling in a corporate finance setting and why is it necessary? a. b. Explain two situations where signaling behavior may be

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5. Signaling What is signaling in a corporate finance setting and why is it necessary? a. b. Explain two situations where signaling behavior may be used in a corporate finance situation to improve firm value. How can wwe be sure that the signal is reliable? i.e., What is to prevent the signal from being misleading? 5. Signaling What is signaling in a corporate finance setting and why is it necessary? a. b. Explain two situations where signaling behavior may be used in a corporate finance situation to improve firm value. How can wwe be sure that the signal is reliable? i.e., What is to prevent the signal from being misleading

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