Question: Consider the two statements below. Indicate whether this is a True/False statement. Briefly explain your answer. Part A. Mature firms with established product markets tend

Consider the two statements below. Indicate whether this is a True/False statement. Briefly explain your answer.

Part A. "Mature firms with established product markets tend to suffer more from financial distress costs."

Part B. "An important type of financial distress cost involves the so-called overinvestment problem where firms with no debt in their capital structure to reject positive-NPV projects.

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