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Whenever a firm splits itself into separate units, with each unit having limited liability with respect to its financing, the capital structure of each unit
Whenever a firm splits itself into separate units, with each unit having limited liability with respect to its financing, the capital structure of each unit becomes ______________.
A)An irrelevant consideration for a cost of capital
B)The relevant consideration for a cost of capital
C)Important only if the firm faces financial distress
D)None of the above
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