Examlex
Define each of the symbols and explain the meaning of M x V = P x Y.
Interest Tax Shield
The reduction in income taxes that results from taking a deductible charge, such as interest on debt, reducing taxable income.
Tax
Compulsory financial charge or some other type of levy imposed upon a taxpayer by a governmental organization in order to fund government spending and various public expenditures.
Capital Structure
The mix of different forms of external funds and equity used by a firm to finance its overall operations and growth.
Debt-Equity Ratio
This metric calculates the relative use of debt and shareholders' equity in financing assets for a company.
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