Providing better information to the market can affect

Reference no: EM13712049

There are at least three reasons by which providing better information to the market can affect the firm's cost of capital.

(3) Providing better information might induce the firm to make better decisions, because it knows that the results of its decisions are going to be clearer to users

Comment on what you understand by each of these points and on its general validity as a theoretical idea. Attach your discussion to relevant finance journal papers.

Reference no: EM13712049

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