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In the Johari Window, the open area gets smaller when we:
MM
The Modigliani-Miller theorem, a foundational concept in corporate finance proposing that under certain conditions, the value of a firm is unaffected by how it is financed.
Firm's Stock
The capital raised by a corporation through the issuance and subscription of shares representing ownership interest in the company.
Dividend Cuts
A reduction in the dividend payments announced by a company, often due to financial difficulties or a need to retain more earnings for investments.
Target D/E Ratio
The desired debt-to-equity ratio that a company aims to achieve to optimize its capital structure.
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