Explain what is the main benefit of debt financing

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Problem 1: What is the main benefit of debt financing? How does it affect the cost of the company's debt?

Problem 2: Compare the basic arguments about the dividend policy proposed by Miller and Modigliani (M&M) and that proposed by Gordon and Lintner.

Problem 3: What are the five factors that companies consider when establishing their dividend policy? Briefly describe each one.

Reference no: EM132719788

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