short-term financial difficulties

1. A cash-cow firm, susceptible to agency issues, might hit short-term financial difficulties in a recession. What kind of financial security would maximize the firm’s value?
2. Is the negative effect of debt on the price/ earnings ratio a force that pushes firms toward equity?
3. Go to the IRS website. Look up the highest marginal income tax rates for investors and corporations today on the different types of income that they might earn.