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Observer A sees a pendulum oscillating back and forth in a relativistic train and measures its period to be TA. Observer B moves together with the train and measures the period of the pendulum to be TB. These two results will be such that
MM Theory
Modigliani-Miller Theorem; a financial theory stating that the market value of a company is independent of its capital structure and dividend policy under certain conditions.
MM Model
The Modigliani-Miller theorem, proposing that in an ideal market, the value of a firm is unaffected by its capital structure.
Financial Leverage
The degree to which a company uses fixed-income securities such as debt and preferred equity in its capital structure.
Tax-Deductible Interest
Interest on loans that can be subtracted from one's taxable income, thereby reducing the overall tax liability.
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