Exam CIMAPRA19-F03-1 Topic 2 Question 359 Discussion

Actual exam question for CIMA's CIMAPRA19-F03-1 exam
Question #: 359
Topic #: 2
AA is considering changing its capital structure. The following information is currently relevant to AA:

The gearing rating raising the new debt finance will be 50%.
Which THREE of the following statement about the impact of AA's change in capital structure are true under Modigliani and Miler's capital structure theory with tax.

Suggested Answer: A,E Vote an answer

by Ellen at Nov 11, 2025, 10:15 PM

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