Assignment:
Q1. Explain why companies with the same credit rating can have very different coverage ratios.
Q2. Describe the process a manager should employ to establish an effective capital structure and payout policies.
Q3. Start-up companies typically have little or no debt. Discuss if and how this fits with value maximization, given the cost-benefit trade-offs between different levels of debt and tax savings, overinvestment, business disruption, and investor conflicts.
Your answer must be, typed, double-spaced, Times New Roman font (size 12), one-inch margins on all sides, APA format and also include references.