Question: What does capital structure theory attempt to do? What lessons can be learned from capital structure theory? Be sure to address the MM models.

What does theory attempt to do? What lessons can be learned from theory? Be sure to address the MM models.

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MM theory begins with the assumption of zero taxes MM prove under a very restrictive set of assumptions that a firms value is unaffected by its financing mix V L V U Therefore capital structure is irr... View full answer

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What does capital structure theory attempt to do? What lessons can be learned from capital structure theory? Be sure to address the MM models.

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