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    Exam 11: Understanding Financing and Payout Decisions
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    Under Conditions of Perfect Capital Markets,M&M Suggest That the Average
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Under Conditions of Perfect Capital Markets,M&M Suggest That the Average

Question 24

Question 24

Multiple Choice

Under conditions of perfect capital markets,M&M suggest that the average cost of capital for the firm will ________ with the ________ of debt.


A) decrease; addition
B) remain the same; addition
C) increase; reduction
D) increase; addition

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