Of the following, the most likely effect of an increase in income tax rates would be to: decrease the savings rate? decrease the supply of loanable funds? increase interest rates ? all of the choices are correct

What are the possible impact of aging problem to the public finance?

The supply and demand for loans will increase when capital becomes more productive.   Select one: True False

Discuss why evaluating vertical equity simply based on tax rate structure may be less than optimal.

The equation for M & M Proposition I, with taxes, is best shown as?

As a borrower, how would you approach negotiating the working capital and capital expenditure restrictions a lender wished to impose?

Which form of financing has the lower after-tax cost, debt or equity? Why?

When would you prefer a savings plan with high liquidity over one with a high rate of return? Why?

According to the trade-off theory, the optimal capital structure is the level of debt that O minimizes the financial distress costs. equates the present values of the incremental interest tax shield and the incremental financial distress costs. maximizes the after-tax cash flows that are internally generated. maximizes the present value of the interest tax shield.