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Which of the following statements are correct in relation to M&M Proposition II withno taxes?I. The return on assets is equal to the weighted average

Which of the following statements are correct in relation to M&M Proposition II withno taxes?I. The return on assets is equal to the weighted average cost of capital.II

.

Financial risk is determined by the debt

-

equity ratio.III. Financial risk determines the return on assets.

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