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Q.2. 1) What net operating income approach and traditional approach to capital structure sugutext ahout the choice of capital structure i.e. debt and equity. Fixplain

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Q.2. 1) What net operating income approach and traditional approach to capital structure sugutext ahout the choice of capital structure i.e. debt and equity. Fixplain the concepts using necessary caiculations and graphs. B) What bird-in-the hand fallacy and tax preference theory suggest about payout policy and its impact on stock price and cost of equity? Marks: 15

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