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    Principles of Corporate Finance Study Set 5
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    Exam 17: Does Debt Policy Matter
  5. Question
    Capital Structure of the Firm Can Be Defined As
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Capital Structure of the Firm Can Be Defined As

Question 3

Question 3

Multiple Choice

Capital structure of the firm can be defined as:
I. the firm's debt-equity ratio
II. the firm's mix of different securities used to finance assets
III. the market imperfection that the firm's manager can exploit


A) I only
B) II only
C) III only
D) I, II, and III

Correct Answer:

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