*$_Which of the following is not an assumption in the Miller & Modigliani approach??

Question

TuteeHUB · Accepted Answer

NA

TuteeHUB · Answer

There are no transaction costs

TuteeHUB · Answer

Securities are infinitely divisible

TuteeHUB · Answer

Investors have homogeneous expectations

TuteeHUB · Answer

All the firms pay tax on their income at the same rate

1.	*$_Which of the following is not an assumption in the Miller & Modigliani approach??
A.	There are no transaction costs
B.	Securities are infinitely divisible
C.	Investors have homogeneous expectations
D.	All the firms pay tax on their income at the same rate
Answer» E.

Discussion