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salihanegawo
13.03.2020 •
Business
Which of the following statements is most correct?a. If the maturity risk premium (MRP) is greater than zero, the yield curve must be upward sloping.b. If the maturity risk premium (MRP) equals zero, the yield curve must be flat.c. If interest rates are expected to increase in the future and the maturity risk premium (MRP) is greater than zero, the yield curve will be upward sloping.d. If the expectations theory holds, the yield curve will never be downward sloping.e. All of the statements above are correct.
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Ответ:
Debt is much less risky for the investor because the firm is legally obligated to pay it. ... Debt is a lower cost source of funds and allows a higher return to the equity investors by leveraging their money.
Explanation: your welcome