Corporate Finance: The Core (4th Edition) (Berk, DeMarzo & Harford, The Corporate Finance Series)
Corporate Finance: The Core (4th Edition) (Berk, DeMarzo & Harford, The Corporate Finance Series)
4th Edition
ISBN: 9780134202648
Author: Jonathan Berk, Peter DeMarzo
Publisher: PEARSON
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Chapter 18.6, Problem 1CC
Summary Introduction

To discuss: The condition the firm must meet to have a constant interest coverage policy.

Introduction:

The constant interest coverage policy is when the firm keeps its interest payments to target fraction of its free cash flow.

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Corporate Finance: The Core (4th Edition) (Berk, DeMarzo & Harford, The Corporate Finance Series)

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