: Miller and Modigliani’s nobel prize winning framework provides all of the following insights, except: View
: Assume a firm earns net income of $10,000 with total assets of $200,000 – half of which is debt – and has 20,000 shares outstanding. Based on this information, its EPS (earnings per share), ROA (return on assets) and ROE (return on equity) are respectively: View
: Considering “Indifference analysis”, which indicates the level of operating income (or earnings before interest and tax, EBIT) where EPS (earnings per share) are equal whether the firm uses debt or equity, we can conclude that the following holds: View
: Access to borrow more is not a “free lunch”. This statement implicates which of the following? View
: Information like salaries, interest from savings accounts, and dividends from investments, can be found on which document? View
