Case studies/extra reading Flashcards by Max Eustance Brougham | Brainscape

Q

What did Dzaja (2013) do?

A

Studied CAPM model using European data
Found higher yields don’t equal higher beta
Found stock markets don’t lie on efficient frontier

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Q

What did Martin (1976) do?

A

Said better to use minimum expected cash flows for a project
Said risk of project means firm must treat projects in “quasi portfolio context”

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Q

Who talked about the portfolio effects of adding investment projects with different returns correlation to the firm’s cash flows?

A

Lewellen (1971)

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Q

What did hong (1978) say about insolvency?

A

Found insolvency costs can offset the tax benefits of added debt
Said agency costs depend on the risk attitudes of managers/SH

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Q

What did Vo 2016 Say about vietnam?

A

-Found negative correlation between leverage and shareholder value in Vietnam

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Q

What did Vo 2016 Say about vietnam?

A

-Found negative correlation between leverage and shareholder value in Vietnam

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