Copyright © 2011 Pearson Prentice Hall. All rights reserved. 14-109 15.5 Optimal Capital Structure with Taxes (cont'd) Do Firms Prefer Debt? –While fi
{"Image DocumentName": "15.5 Optimal Capital Structure with Taxes (cont d)", "Image ImageDescription": "Do Firms Prefer Debt? While firms seem to prefer debt when raising external funds, not all investment is externally funded. Most investment and growth is supported by internally generated funds. Even though firms have not issued new equity, the market value of equity has risen over time as firms have grown. For the average firm, the result is that debt as a fraction of firm value has varied in a range from 30\u201345%.", "Image XResolution": "37", "Image YResolution": "37", "Image ResolutionUnit": "Pixels/Centimeter", "Image Software": "SlidePlayer", "Image YCbCrPositioning": "Centered"}