Why are MM propositions important
{"Image DocumentName": "Why are MM propositions important?", "Image ImageDescription": "MM theory assumes perfect capital markets (no information asymmetry, no bankruptcy costs, etc.). We know in the real world capital markets are not perfect. All scientific theories begin with a set of idealized assumptions from which conclusions can be drawn. When we apply the theory, we should consider the consequences of important deviations. By indicating the conditions under which capital structure is irrelevant, MM provides us clues about what is required for capital structure to be relevant.", "Image XResolution": "37", "Image YResolution": "37", "Image ResolutionUnit": "Pixels/Centimeter", "Image Software": "SlidePlayer", "Image YCbCrPositioning": "Centered"}