Direct insolvency costs are considered small when compared to indirect costs.
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Q11: Unlike direct insolvency costs, indirect costs are
Q12: M&M Proposition 1 assumes that the mix
Q13: Minimising the cost of a company's financing
Q14: Increasing a company's outstanding equity will increase
Q15: With no debt, the WACC is the
Q17: More debt in the capital structure provides
Q18: If a company has debt and pays
Q19: Insolvency and agency costs both act as
Q20: A financial restructuring can change the value
Q21: The optimal capital structure of a company:
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