Forelæsning 5

Question 1

Hvad omhandler Modigliani & Miller’s Proposition 1 og 2?

Answer 1

Under det pågældende antagelser
1. vil det gælde at kapitalstrukturen i en virksomhed er ligegyldigt for virksomhedens samlede værdi.
2. WACC vil være den samme uanset kapitalstruktur. Mere gæld er billig i afkastkrav, men gør EK-afkastkrav tilsvarende højere.

Question 2

Hvilke antagelser der der til Modigliani & Miller’s Proposition 1 og 2?

Answer 2

A basic assumption is that the capital markets are perfect.
The main assumptions behind the theorem are:
1. financial markets are frictionless
2. there are no transaction costs
3. there is no corporate and personal taxation
4. firms cannot go bankrupt (or just that there are no bankruptcy costs!)
5. insiders and outsiders have the same set of information (no signalling
effects)
6. the management acts on the exclusive behalf of shareholders (no
incentive effects)

Question 3

Hvilke mulige fordele er der ved gæld?

Answer 3

• Skatteskjold
• Improves the discipline by monitoring the management)
• Øger ROE
• Signalværdi i at være godkendt af banken
• Allows a more concentrated (or diversified) ownership (debt has not direct voting power)
• Finansieringskilde - formentlig nem og hurtig
• Can allow the shareholders to either partly cash in and/or to diversify
• Få en ven i banken

Question 4

Hvilke mulige ulemper er der ved gæld?

Answer 4

• Kan øge “financial distress”
• Kan mindske kontrol/fleksibilitet ved covenants
• Lower future debt capacity/lower financial flexibility
• Induces conflicts between debt holders and share holders
• Risk shifting: Investing in negative NPV, but risky projects.
• Underinvestment: Not investing in positive NPV projects, as most will go to the debt holders.
• Can create some dependency of the provider of debt financing (banks)