Question
Do you agree with the following statement? Explain your a nswer. In a world with no taxes or finan cial distress costs, if a fir
Do you agree with the following
statement? Explain your a
nswer.
"In a world with no taxes or finan
cial distress costs, if a fir
m issues equity to pay off some of its
debt, the price of the shares will
increase because the shares
become less risky."
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Quantitative Investment Analysis
Authors: Richard A. DeFusco, Dennis W. McLeavey, Jerald E. Pinto, David E. Runkle
3rd edition
111910422X, 978-1119104544, 1119104548, 978-1119104223
