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A major assumption of DCF valuation is that a company needs to periodically issue debt to match any reinvested retained earnings in order to stay

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A major assumption of DCF valuation is that a company needs to periodically issue debt to match any reinvested retained earnings in order to stay on target with its debt-equity leverage ratio. (Assume all other inputs are fixed.) O True False The amount of money raised by a new equity issue by the firm does not constitute free cash flow to equity. True False

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