Since interest on debt is tax deductible and dividend on, Financial Management

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Since interest on debt is tax deductible and dividend on

1. Since interest on debt is tax deductible and dividend on stock is not. Companies are financially better off issuing as much debt as possible.

True or false? explain.

2. The optimal capital structure is the same for all the companies in the each industry.

True or false? explain.

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Financial Management: Since interest on debt is tax deductible and dividend on

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