Which one of the following is not among the assumptions of the Modigliani-Miller model?
A. Perfect capital market
B. Equivalent risk classes
C. Unity for dividend payout ratio
D. Absence of taxes
Answer:C
Which one of the following is not among the assumptions of the Modigliani-Miller model?
A. Perfect capital market B. Equivalent risk classes C. Unity for dividend payout ratio D. Absence of taxes