We work together to reach a common goal to help our

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Unformatted text preview: he advert Investment = 1% · Profits The financial industry needs a strong software platform That’s why we need you SimCorp is a leading provider of software solutions for the financial industry. We work together to reach a common goal: to help our clients succeed by providing a strong, scalable IT platform that enables growth, while mitigating risk and reducing cost. At SimCorp, we value commitment and enable you to make the most of your ambitions and potential. Are you among the best qualified in finance, economics, IT or mathematics? Find your next challenge at www.simcorp.com/careers www.simcorp.com MITIGATE RISK REDUCE COST ENABLE GROWTH Download free ebooks at bookboon.com 58 Corporate Finance Corporate financing and valuation Thus, investing 1% in the unlevered Firm U returns 1% of the profits. Similarly investing 1% in the levered firm L also yields 1% of the profits. Since we assumed that the two firms generate the same cash flow it follows that profits are identical, which implies that the value of Firm U...
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