Question
With perfect capital markets, the total value of all investors does not depend on firm's capital structure. Investors as a group are not worse off
With perfect capital markets, the total value of all investors does not depend on firm's capital structure. Investors as a group are not worse off because a firm has leverage. . Discuss with an example the correlation between bankruptcy risk and firm value .Will there be an impact on firm value ?
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Financial And Managerial Accounting
Authors: Jerry J Weygandt, Paul D Kimmel, Jill E Mitchell
4th Edition
1119752620, 978-1119752622
