If Congress increased the personal tax rate on dividends and capital gains but simultaneously reduced the rate

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If Congress increased the personal tax rate on dividends and capital gains but simultaneously reduced the rate on corporate income, what effect would this have on the average company’s capital structure?

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Fundamentals of Financial Management

ISBN: 978-0324302691

11th edition

Authors: Eugene F. Brigham, ‎ Joel F. Houston

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Question Posted: Aug 10, 2019 08:25 AM

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If Congress increased the personal tax rate on dividends and capital gains but simultaneously reduced the rate

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An increase in the personal tax rate makes both stocks and bonds less attractive to investors be...View the full answer

Fundamentals of Financial Management

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