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1. In a world of perfect financial markets (but not necessarily product markets), is the cost of capital of the firm independent of how it is operated and financed?

2. If a change in capital structure increases the risk both of the firm’s equity and debt, and there are no other financial claims, does it imply that the firm’s risk has increased?

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M93060218

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