Problem:
Question: What three factors are important to consider in determining a target debt to equity ratio?
- Taxes, asset types, and pecking order and financial slack
- Asset types, uncertainty of operating income, and pecking order and financial slack
- Taxes, financial slack and pecking order, and uncertainty of operating income
- Taxes, asset types, and uncertainty of operating income
- None of these.
Note: Please show how to work it out.