Firms in real estate investment trusts

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Reference no: EM132895650

Which shows the net debt-to-enterprise value ratio for some select industries.

Part 1: Firms in the real estate investment trusts (REITs), airlines, electric utilities, and paper products industries tend to have high leverage. Explain why firms in these industries would prefer to have high leverage.

Part 2: Firms in the computer hardware, footwear, apparel and luxury goods, and data processing industries tend to have low leverage. Explain why firms in these industries would prefer to have low leverage.

Attachment:- Corporate Finance.rar

Reference no: EM132895650

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