Applying the M-M Theorem: When there is NO market imperfection, which of the following corporate financing should produce larger firm value?

Applying the M-M Theorem: When there is NO market imperfection, which of the following corporate financing should produce larger firm value?


a. Debt financing from Banks
b. Public equity financing from Initial Public Offering (IPO)
c. Private equity financing from Venture Capital
d. None of the above financing method will produce larger firm value


Answer: d. None of the above financing method will produce larger firm value


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