Nisha Sharma posted an Question
October 12, 2021 • 12:35 pm 30 points
  • UGC NET
  • Commerce

Mam please xplain some general assumptions in capital structure theory

mam please xplain some general assumptions in capital structure theory

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  • Priya sarda best-answer

    The capital structure theories use the following assumptions for simplicity: 1) The firm uses only two sources of funds: debt and equity. 2) The effects of taxes are ignored. 3) There is no change in investment decisions or in the firm's total assets. 4) No income is retained.

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