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The case based on the pecking-order theory of asymmetric information before answering the following questions Why do firms prefer to invest their internally generated surplus

The case based on the pecking-order theory of asymmetric information before answering the following questions

Why do firms prefer to invest their internally generated surplus funds in Marketable Securities instead of increasing dividends?

Why do firms use issuing the equities as the last resort, after debt and hybrid securities, to get the external funding?

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