Characteristics help explain corporate debt equity ratios

Reference no: EM131243102

1. How good is our knowledge about what deeper determinants create the empirically observed capital structure patterns?

2. Firms with large tax obligations are known to be more inclined to issue debt and retire equity. Does this mean that firms with high tax obligations usually have high debt ratios?

3. What deeper characteristics help explain corporate debt/equity ratios?

Reference no: EM131243102

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