According to the static trade-off theory: a. The amount of debt a company has is irrelevant. b.
Question:
a. The amount of debt a company has is irrelevant.
b. Debt should be used only as a last resort.
c. Debt will not be used if a company’s tax rate is high.
d. Companies have an optimal level of debt.
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Related Book For
Fundamentals of corporate finance
ISBN: 978-0470876442
2nd Edition
Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates
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