Contribution of the miller model is that it demonstrates

Assignment Help Financial Management

Reference no: EM131863971

1. Code Sec. 1231 is a gain/loss characterization provision which provides the taxpayer with the best of both tax worlds. This is because:

a. net Section 1231 gains and losses are taxed as capital gains, and are not subject recapture.

b. net Section 1231 gains and losses are taxed as ordinary income, but are subject to recapture.

c. net Section 1231 gains are taxed as capital gains, and net losses are taxed as ordinary losses, but gains are not subject to recapture.

d. net Section 1231 gains are taxed as capital gains, and net losses are taxed as ordinary losses, but are subject to recapture.

2. The major contribution of the Miller model is that it demonstrates that

a. personal taxes decrease the value of using corporate debt.

b. financial distress and agency costs reduce the value of using corporate debt.

c. equity costs increase with financial leverage.

d. debt costs increase with financial leverage.

e. personal taxes increase the value of using corporate debt.

Reference no: EM131863971

Questions Cloud

Discuss the level of infant and child mortality : Populations are considered at greater health risk when there is high child and infant mortality. Brain development in infants and young children requires.

Digital evidence and digital forensics : Why can testifying as an expert on digital evidence and digital forensics (particularly as a highly technical individual yourself) be so challenging?

Analyze the effect of the economic condition of the country : MBALN-622 Financial Management - Analyze the effect of the economic condition of the country of your choice on the world in general and specifically

Group of college students : Discuss how, as criminalists, you would address a group of high school students compared to a group of college students.

Contribution of the miller model is that it demonstrates : The major contribution of the Miller model is that it demonstrates that

Which type of cooperative strategy would benefit companies : Use the Internet to research two U.S.-based companies you believe would mutually benefit from working together in some way.

What organization do you admire the most : What organization do you admire the most? Defend why you believe the organization deserves respect.

Create a package diagram of the problem domain layer : Create a package diagram of the problem domain layer using the communication diagrams and the CRUDE matrix through the use of graphical tools.

Pictures of fellow soldiers engaging in various : You are a soldier in Iraq and have taken pictures of fellow soldiers engaging in various acts of abuse and torture.

User Account

All Pages