When retained earnings are exhausted the mcc breaks upward, Financial Management

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When retained earnings are exhausted the mcc breaks upward

It should be brief and approximately 200-250 words.

1. When retained earnings are exhausted, the MCC breaks upward. What happens if the firm continues to raise capital after that? Does the MCC remain flat or move further upward? In either case, why?

2. You invest $2,800 at a 6% annual interest rate, stated as an APR. Interest is compounded monthly. How much will you have in 1 year? In 1.5 years? (Do not round intermediate calculations. Round your answers to 2 decimal places.)

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Financial Management: When retained earnings are exhausted the mcc breaks upward

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