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What is the primary intuition underlying the use of high levels of debt in a Leveraged Buyout ( LBO ) ? A ) To increase
What is the primary intuition underlying the use of high levels of debt in a Leveraged Buyout LBO
ATo increase the complexity of the financial structure.
BTo maximize the returns on equity through leverage and tax shields.
CTo diversify the investment portfolio of the private equity firm.
DTo ensure that the company has enough operating cash flow.
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