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Modigliani-Miller (MM) Theory Proposition I with corporate taxes states that: O Capital structure can affect firm value. O Firm value is maximized in an all

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Modigliani-Miller (MM) Theory Proposition I with corporate taxes states that: O Capital structure can affect firm value. O Firm value is maximized in an all debt capital structure. O By raising the debt-to-equity ratio, the firm can lower its taxes and thereby increase its total value. All of the choices are correct

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