Multiple Choice
Optimal capital structure is
A) the mix of permanent sources of funds used by the firm in a manner that will maximize the company's common stock price.
B) the mix of all items that appear on the right-hand side of the company's balance sheet.
C) the mix of funds that will minimize the firm's cost of equity capital.
D) the mix of funds that will maximize the firm's interest tax shield.
Correct Answer:
Verified
Correct Answer:
Verified
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