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24 December, 22:33

The trade-off theory states that the capital structure decision involves a tradeoff between the costs and benefits of debt financing.

A) True

B) False

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Answers (1)
  1. 24 December, 22:58
    0
    A) True

    Explanation:

    The trade-off Theory states that the Capital Structure of a Company, where company chooses the Debt Finance and Equity finance to use for balancing the Costs and Benefits.
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