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Which of the following is are assumption(s) underlying the Miller and...

This question belongs to Commerce Financial Management
Financial Management
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Which of the following is / are assumption(s) underlying the Miller and Modigliani analysis?

Answer & Solution
Correct Answer: Option D
Capital markets are perfect, Investors are assumed to be rational and behave accordingly and there is no corporate or personal income tax are the assumptions underlying the Miller and Modigliani analysis.
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