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According to MM propositions, which of the following statements best describes the consequence of increasing debt-to-value ratio for a firm? The weighted average cost of

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According to MM propositions, which of the following statements best describes the consequence of increasing debt-to-value ratio for a firm? The weighted average cost of capital must not stay constant. The weighted average cost of capital decreases. The weighted average cost of capital increases. The cost of equity capital decreases

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