Hypothesis of capital structure concludes

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The Modigliani and Miller Independence hypothesis of capital structure concludes that?

The market value of a firm's common stock will fall if a firm uses long-term debt.

The total market value of a firm's outstanding securities will be unaffected by the manner in which a firm finances its assets.

The market value of a firm's common stock will rise if a firm uses long-term debt.

None of the above.

Reference no: EM131188476

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