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EpiscoWhat EpiscoWhat
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6 years ago
Suppose that BBB pays corporate taxes of 35% and that shareholders expects the change in debt to be permanent.  Assuming that capital markets are perfect except for the existence of corporate taxes, the share price for BBB after this announcement is closest to:
A) $10.00
B) $10.85
C) $8.60
D) $11.40
Textbook 
Corporate Finance: The Core

Corporate Finance: The Core


Edition: 4th
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EgorGruzdevEgorGruzdev
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6 years ago
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EpiscoWhat Author
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6 years ago
this is exactly what I needed
logbi
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Yesterday
I appreciate what you did here, answered it right Smiling Face with Open Mouth
cipcal
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2 hours ago
Helped a lot
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