Question: 3 Multiple Choice 1 point. Modigliani and Miller's Proposition I ( without taxes ) states that a firm's value is independent of ics captal structure.

3
Multiple Choice
1 point.
Modigliani and Miller's Proposition I (without taxes) states that a firm's value is independent of ics captal structure. What mechanism ensures this irrelevance in a perfect market?
The ability of investors to replicate corporate leverage through homonude leverape
The cost of debt remaining constant as leverage, assuming the firm has zero financal distress risk:
Tax shields on debt financing.
The firm's ability topay dividends to equity holders
3 Multiple Choice 1 point. Modigliani and

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