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    Mergers Acquisitions
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    Exam 14: Highly Leveraged Transactions: Lbo Valuation and Modeling Basics
  5. Question
    As the LBO's Extremely High Debt Level Is Reduced,the Cost
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As the LBO's Extremely High Debt Level Is Reduced,the Cost

Question 25

Question 25

True/False

As the LBO's extremely high debt level is reduced,the cost of equity needs to be adjusted to reflect the decline in risk,as measured by the firm's unlevered beta.

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