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With respect to financial risk, Modigliani and Miller concluded that: A) an all-debt structure is theoretically not feasible B) if an interest payment is tax
With respect to financial risk, Modigliani and Miller concluded that:
A) an all-debt structure is theoretically not feasible
B) if an interest payment is tax deductible, an all debt capital structure is optimal
C) if an interest payment is tax deductible, debt and equity should be evenly divided
D) if an interest payment is not tax deductible, a no debt capital structure is optimal
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