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Which if the following representa the corporate tax view of capital structure? A. all of these B. none of these C. firm value depends only
Which if the following representa the corporate tax view of capital structure?
A. all of these
B. none of these
C. firm value depends only on its expected future operating cash flows, not on how those cash flows are divided between the debtholders and shareholders
D. Maximum firm value results from being essentially all equity financed
E. corporate taxes cause debt to be much cheaper than equity compared to their risk.
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