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Use the following information to answer the following. Calculate the lambda for each firm. Which firm is more liquid? Justify your answer using probabilities. All

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Use the following information to answer the following. Calculate the lambda for each firm. Which firm is more liquid? Justify your answer using probabilities. All else constant, how much cash should Firm B hold so that firms A and B have the same degree of liquidity risk

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Equity Valuation And Portfolio Management

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