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Question 5 Required: (a) Please describe trade-off and pecking order theories regarding capital structure and discuss their implications. (16 marks) (b) Please describe the agency

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Question 5 Required: (a) Please describe trade-off and pecking order theories regarding capital structure and discuss their implications. (16 marks) (b) Please describe the agency problem between managers and shareholders, and discuss various methods to mitigate this agency problem (1.e, how to mitigate the agency problem and their weakness). (20 marks)

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