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The proposition that a firm should borrow as much as possible because the value of a leveraged firm is greater than the value of an

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The proposition that a firm should borrow as much as possible because the value of a leveraged firm is greater than the value of an unleveraged firm by the present value of the interest tax shield is called the: M&M Proposition II. M&M Proposition I with taxes. Pecking Order Theory. Static Theory of Capital Structure. M&M Proposition I without taxes

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