Discuss the Perspective of Dynamic-Systems Theories on How Action and Thinking

question 82

Essay

Discuss the perspective of dynamic-systems theories on how action and thinking are related. Be sure to indicate whether action shapes thinking or thinking shapes actions or both. Provide at least one example to support your answer.

Calculate the equity beta in a given capital structure and understand its implications.

Understand and apply the Modigliani-Miller theorem with corporate taxes to find the value of the firm.

Assess the effect of personal and corporate tax rates on the value added by leverage.

Recognize the different types of leverage and their implications for a firm's financial risk.