Suppose you were the financial manager for a firm and were considering a proposed increase in the

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Suppose you were the financial manager for a firm and were considering a proposed increase in the amount of debt in the firm's capital structure. If you thought the firm was going to consistently earn a level of EBIT above its break-even level of EBIT (based on the current and proposed new capital structures) would this cause you to prefer leveraging the firm up or staying at your current capital structure?
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Marketing Management

ISBN: 978-0136074892

4th edition

Authors: Russell S. Winer, Ravi Dhar

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