Match List I with List II.

List I

Capital Structure theories

List II

Key Components

(a)

MM approach

(i)

Costs of financial distress

(b)

Pecking order theory

(ii)

Assymetric information

(c)

Trade off theory

(iii)

No target capital structure

(d)

Signaling thoery

(iv)

Home made Leverage


Choose the correct answer answer from the options given below:

1
A - III, B - II, C - IV, D - I
2
A - IV, B - III, C - I, D - II
3
A - IV, B - I, C - III, D - II
4
A - IV, B - III, C - II, D - I

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