Carter, Mary Ellen; Manzon Jr., Gil B - In: Journal of Financial Research 18 (1995) 1, pp. 103-14
In this study we examine the effect of firms' marginal tax rates on incremental and overall reliance on mandatorily redeemable preferred stock (MRPS). Similarities in the cash flows associated with debt and MRPS, as well as similarities in the claims of holders of debt and MRPS on the assets of...
