What effect does incorporating corporate income taxation have on the M& M capital structure irrelevance hypothesis? Why?

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What effect does incorporating corporate income taxation have on the M& M capital structure irrelevance hypothesis? Why?
Capital Structure
Capital structure refers to a company’s outstanding debt and equity. The capital structure is the particular combination of debt and equity used by a finance its overall operations and growth. Capital structure maximizes the market value of a...
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Introduction to Corporate Finance

ISBN: 978-0324657937

2nd edition

Authors: Scott B. Smart, William L Megginson

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