0
Quoted from Wikipedia: "The basic theorem states that, in the absence of taxes, bankruptcy costs, and asymmetric information, and in an efficient market, the value of a firm is unaffected by how that firm is financed. It does not matter if the firm's capital is raised by issuing stock or selling debt. It does not matter what the firm's dividend policy is. Therefore, the Modigliani-Miller theorem is also often called the capital structure irrelevance principle."
Delia Auer
Add your answer:
Earn +20 pts
What are the assumptions of the Modigliani Miller approach?
The Modigliani Miller approach assumes that it does not matter how a business or corporation is financed.
Does capital structure matter for company?
According to Modigliani and Miller, no.... ;)
What has the author Amedeo Modigliani written?
Amedeo Modigliani has written: 'Amedeo Modigliani' 'Amedeo Modigliani, text by Jacques Lipchitz.'
What is Modigliani's full name?
Amedeo Clemente Modigliani.
What was Modigliani's first name?
Amedeo Clemente Modigliani.
Who was modigliani?
Modigliani was a popular artist that studied paintings and sculptures
When did Ettore Modigliani die?
Ettore Modigliani died in 1947.
When was Ettore Modigliani born?
Ettore Modigliani was born in 1947.
When did Jeanne Modigliani die?
Jeanne Modigliani died in 1984.
When was Jeanne Modigliani born?
Jeanne Modigliani was born in 1918.
When did Elio Modigliani die?
Elio Modigliani died in 1932.
When was Elio Modigliani born?
Elio Modigliani was born in 1860.
