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yaqub yaqub
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3 years ago
When Modigliani and Miller revised their original model to include taxes, they concluded that

▸ firms should reduce their degree of financial leverage.

▸ tax avoidance does not alter a firm's value.

▸ tax increases lower a firm's value.

▸ firms should use only debt in their capital structure.

▸ taxes also have no bearing on the capital structure decision.
Textbook 
Corporate Finance Online

Corporate Finance Online


Edition: 2nd
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emilyelizabeth2emilyelizabeth2
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3 years ago
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