Financial Management

1:

Which is the assumption of Modigliani and Miller approach to cost of capital?

A.

The capital markets are assumed to be perfect

B.

The firms can be classified into homogeneous risk class

C.

All Investor have the same expectations from a firm's net operating income which is necessary to evaluate the value of a firm

D.

All of the above

 

Answer : D

Explanation :

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Option: A

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