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The company’s CEO needs To maximise the financial debt levels around the Significant County’s stability sheet and using the debt proceeds to repay the credit card debt. It truly is assumed that the maximum volume of financial debt would be held fifty% of the whole equity soon after deducting The present liabilities from the whole belongings. The financial debt level equalled to $4.862 million (See Appendix six) following the proposed personal debt maximization assumption.
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