Corporate Debt Capacity

1963 ◽  
Vol 29 (3) ◽  
pp. 238
Author(s):  
Avery B. Cohan ◽  
Gordon Donaldson
Keyword(s):  
Corporate Debt ◽  
Debt Capacity

Corporate Debt Capacity and Capital Budgeting Analysis

1982 ◽  
Vol 11 (2) ◽  
pp. 42 ◽  
Author(s):  
S. Ghon Rhee ◽  
Franklin L. McCarthy
Keyword(s):  
Capital Budgeting ◽  
Corporate Debt ◽  
Debt Capacity

CORPORATE DEBT CAPACITY AND THE CAPITAL BUDGETING DECISION: AN EXTENSION

1985 ◽  
Vol 20 (3) ◽  
pp. 87-87
Author(s):  
C. R. Narayanaswamy ◽  
James R. Webb ◽  
Chand Midha
Keyword(s):  
Capital Budgeting ◽  
Corporate Debt ◽  
Debt Capacity

Corporate Debt Capacity.

Economica ◽  
1962 ◽  
Vol 29 (115) ◽  
pp. 311
Author(s):  
J. A. G. Grant ◽  
Gordon Donaldson
Keyword(s):  
Corporate Debt ◽  
Debt Capacity

The Determinants of the Maturity of Corporate Debt Issues

CFA Digest ◽  
1997 ◽  
Vol 27 (3) ◽  
pp. 54-56
Author(s):  
S. Brooks Marshall
Keyword(s):  
Corporate Debt

A Single Period Stochastic Model for Maximising Firms Value

GIS Business ◽  
2016 ◽  
Vol 11 (6) ◽  
pp. 39-45
Author(s):  
J. P. Singh
Keyword(s):  
Capital Market ◽  
Firm Value ◽  
Capital Asset Pricing ◽  
Capital Asset ◽  
Asset Pricing Model ◽  
Value Maximization ◽  
Risk Return ◽  
Bankruptcy Costs ◽  
Single Period ◽  
Debt Capacity

This article sets up a single period value maximization model for the firm based on stochastic end-of-period cash inflows, stochastic bankruptcy costs and taxes based on income rather than wealth. The risk-return trade-off is captured in the Capital Asset Pricing Model. Thus, the model also assumes a perfect capital market and market equilibrium. The model establishes the existence of a unique optimal financial leverage at which the firm value is maximized, this leverage being less than the maximum debt capacity of the firm.

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