If investors' aversion to risk rose, causing the slope of the SML to increase, this would have a greater impact on the required rate of return on equity, rs, than on the interest rate on long-term debt, rd, for most firms. Other things held constant, this would lead to an increase in the use of debt and a decrease in the use of equity. However, other things would not stay constant if firms used a lot more debt, as that would increase the riskiness of both debt and equity and thus limit the shift toward debt.
a. True
b. False
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Costs of production that do not change when output changes.question 17 options: total revenuefixed incometotal costfixed cost
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Need today! will get brainliest for right answer! compare and contrast absolute advantage and comparative advantage.
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Carlos hears juan and rita’s complaints about the new employees with whom they have to work with, as well as their threats to quit the company. if carlos were to reassign juan and rita to new, unique roles and separate them from the ronny and bill, it would signal that carlos has moved into the stage of managing resistance.
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If investors' aversion to risk rose, causing the slope of the SML to increase, this would have a gre...
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