FIN 571 Week 1 DQ 2

1
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FIN-571-Week-1-DQ-2FIN 571 Week 1 DQ 2Assume
that interest rates have increased substantially.
Would this tend to increase or decrease the
market value (meaning the price an investor in
the firms paper is willing to pay) of a firms
liabilities (relative to the book value of
liabilities)?  
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