文档介绍：CHAPTER15CapitalStructure: -::PropositionII(NoTaxes)-StructureQuestion andThePieTheoryThevalueofafirmisdefinedtobethesumofthevalueofthefirm’sdebtandthefirm’=B+SIfthegoalofthemanagementofthefirmistomakethefirmasvaluableaspossible,thefirmshouldpickthedebt--StructureQuestionTherearereallytwoimportantquestions:Whyshouldthestockholderscareaboutmaximizingfirmvalue?-to-equitythatmaximizestheshareholder’svalue?Asitturnsout,-MillerModelHomogeneousExpectationsHomogeneousBusinessRiskClassesPerpetualCashFlowsPerfectCapitalMarkets:petitionFirmsandinvestorscanborrow/esstoallrelevantinformationNotransactioncostsNotaxes5TheMMPropositionsI&II(NoTaxes)PropositionIFirmvalueisnotaffectedbyleverageVL=VUPropositionIILeverageincreasestheriskandreturntostockholdersrs=r0+(B/SL)(r0-rB)rBistheinterestrate(costofdebt)rsisthereturnon(levered)equity(costofequity)r0isthereturnonunleveredequity(costofcapital)BisthevalueofdebtSListhevalueofleveredequity6FinancialLeverage,EPS,andROECurrentProposed Assets $20,000$20,000 Debt $0 $8,000 Equity $20,000$12,000Debt/Equityratio Interestrate n/a8% Sharesoutstanding 400240 Shareprice $50$50Consideranall-equityfirmthatisconsideringgoingintodebt.(Maybesomeoftheoriginalshareholderswanttocashout.)7EPSandROEUnderCurrentCapitalStructureRecession Expected ExpansionEBIT $1,000 $2,000 $3,000Interest 0 0 e $1,000 $2,000 $3,000EPS $ $ $ 5% 10% 15%ROE 5% 10% 15%CurrentSharesOutstanding=400shares8EPSandROEUnderProposedCapitalStructureR