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MM Proposition I, without taxes, assumes that A. debt is riskless. B. individuals and corporations can borrow at the same rate. C. firms can borrow

MM Proposition I, without taxes, assumes that

A. debt is riskless.

B. individuals and corporations can borrow at the same rate.

C. firms can borrow at the risk-free rate.

D. all firms will prefer an unlevered capital structure.

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