the Modigliani-Miller theorem has been touted as one of the fundamental theorems in corporate finance. This theorem, proposed by Franco Modigliani and Merton Miller in 1958, states that under certain market conditions (such as the absence of taxes, bankruptcy costs, and asymmetrical information), a firm's value is not affected by how it is financed, whether by issuing stocks or debt. However, in reality, these ideal market conditions rarely exist, leading to the question: What are the implications and real-world applications of the Modigliani-Miller theorem, especially considering factors like corporate taxes, bankruptcy costs, and market imperfections? Furthermore, the Efficient Market Hypothesis (EMH) is another pillar in the financial theory landscape. The EMH states that at any given time, financial markets always reflect all available information, making it impossible for investors to beat the market consistently on a risk-adjusted basis. Yet, notable investors like Warren Buffet seem to defy this principle. How can the consistent success of such investors be reconciled with the EMH? What are the limitations of this theory, and in what ways might market anomalies and behavioural finance challenge it? Lastly, the Capital Asset Pricing Model (CAPM) offers a way to calculate the expected return on an investment given its systematic risk. The CAPM formula includes Beta, which measures the investment's volatility or systematic risk in relation to the market as a whole. However, critics argue that the CAPM's assumption of a linear relationship between an asset's risk and its expected return is overly simplistic and may not apply in complex market scenarios. In what ways does the CAPM theory fall short, especially in accurately assessing the risk and potential return of innovative and disruptive investments like cryptocurrencies and tech startups?