Yesa high-tax investor would be willing to accept a lower rate of return on capital gains in

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Yes—a high-tax investor would be willing to accept a lower rate of return on capital gains in a risk-neutral world. The alternative is to receive interest income, which would be too heavily taxed.

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Corporate Finance An Introduction

ISBN: 9780321277992

1st Edition

Authors: Ivo Welch

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Question Posted: Oct 26, 2024 04:02 AM

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Yesa high-tax investor would be willing to accept a lower rate of return on capital gains in a risk-neutral world. The alternative is to receive interest income, which would be too heavily taxed.
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Yesa high-tax investor would be willing to accept a lower rate of return on capital gains in

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Corporate Finance An Introduction

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