- Which one of the following is NOT an implication of
market efficiency forcorporate finance ?
Group of answer choices
Firms cannot successfully time issues of debt and equity
Firms can successfully time issues of debt and equity
Managers cannot fool the market through creative
Managers cannot profitably speculate in foreign currencies and other instruments
Managers can reap many benefits by paying attention to market prices
- Which one of the following is not a characteristic of Modigliani-Miller Propositions with corporate taxes?
Group of answer choices
individuals and corporations borrow at the same rate
There are no transaction or bankruptcy costs
Corporations are taxed at the rate TC on earnings after interest
There are no taxes
The
- _______ specifies an action that the company agrees to take or a condition the company must abide by.
Group of answer choices
milking the property
positive covenant
marketable claims
negative covenant
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