33.11
11. Your company is considering adding more debt to its capital
structure. It is your job to figure out how this might impact the
value of the company. What information do you need to know to
determine its impact? (3)
Think about the M&M theorem:
You would care about how the change will affect your company's taxes (through interest deductibility), any transaction costs that will be incurred, and whether the capital structure change will somehow change your investment policy.