Modigliani and Miller (M&M) Proposition II states:
A) the cost of equity does not change when a firm takes on a greater proportion of debt.
B) the cost of equity increases when a firm takes on a greater proportion of debt.
C) the cost of debt increases when a firm takes on a greater proportion of equity.
D) the cost of equity decreases when a firm takes on a greater proportion of debt.
B
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What will be an ideal response?
Independence of the internal audit function is obtained by giving the Chief Audit Executive (CAE) unrestricted access to the board and senior management
a. True b. False Indicate whether the statement is true or false
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