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pls solve 1. Investment, financing and dividend decisions are mutually determined and thereby the value. Explain why and how? 2. Explain how do profitability influence
pls solve
1. Investment, financing and dividend decisions are mutually determined and thereby the value. Explain why and how? 2. Explain how do profitability influence the firm's financing decisions? 3. What is the effect of having Current ratio higher than the optimal? For example the optimal current ratio =2 times while the actual one is 6 times 4. Value=maximizing firms should maintain their actual debt ratio at its target or optimal by adjusting the target deviation. CommentStep by Step Solution
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