e) The latest US Tax code change placed special emphasis on lowering the corporate tax rate. If that were the only force to consider (such as agency and information for instance along with other tax concers) were relevant, what changes would you expect to see in corporate leverage in the country?

f) You are always worse off going after a privately held firm as opposed to a publicly traded firm since the small number of owners in the former case will be more powerful and able to extract a higher premium in the acquisition. True or False. Please Explain.