The value of tax shields is NOT equal to the present value of tax shields
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چکیده
منابع مشابه
The value of tax shields IS equal to the present value of tax shields
Fernandez (2004b) argues that the present value effect of the tax saving on debt cannot be calculated as simply the present value of the tax shields associated with interest. This contradicts standard results in the literature. It implies that, even though the capital market is complete, value-additivity is violated. As a consequence, adjusted present value formulae of a standard sort cannot be...
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ژورنال
عنوان ژورنال: Journal of Financial Economics
سال: 2004
ISSN: 0304-405X
DOI: 10.1016/j.jfineco.2002.10.001