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Optimal Capital Structure "First" Criteria Suggests That Risk Should Be

Question 30

Multiple Choice

Optimal capital structure "first" criteria suggests that risk should be ________ and that the best way to obtain that is with ________ levels of debt and ________ levels of equity.


A) high; high; low
B) low; high; low
C) low; low; high
D) high; low; high

Correct Answer:

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