Examlex
What is the common name of the compound shown below?
WACC
Weighted Average Cost of Capital, a measure of a company's cost of capital where each category is proportionally weighted.
MM Proposition
Refers to the Modigliani-Miller theorem, which posits that under certain market conditions the value of a company is unaffected by how it is financed, whether through debt or equity.
Capital Structure
The mix of a company's long-term debt, specific short-term debt, common equity, and preferred equity, representing how a firm finances its overall operations and growth.
Miller's Theory
Miller's Theory, part of the Modigliani-Miller theorem, posits that in perfect markets, the value of a company is unaffected by how it is financed, regardless of whether it's through debt or equity.
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