define optimal capital structure? illustrate with examples:
Answer Posted / badri.jena
The optimal capital structure usually involves some debt,
but not 100% debt. Ordinarily, some firms cannot identify
this optimal point precisely, but they should attempt to
find an optimal range for the capital structure.
The required rate of return on equity capital (R) can be
estimated in various ways, for example, by adding a
percentage to the firm's long-term cost of debt. Another
method is the Capital Asset Pricing Model (CAPM).
Is This Answer Correct ? | 8 Yes | 8 No |
Post New Answer View All Answers
What Is The Difference Between Stocks And Bonds?
hello sir,my self vishal soni i am student of last year bechalor of commerce and want to complete my m.b.a. in finance in u.s.a. but i just want to confirm first that if i got A.T.K.T. in b.com which was solve so is there any chance to get admission in m.b.a. university and get student visa please sir reply as soon as possible. thankss
What is 'foreign bill'?
what should be the methology of business taxation ?
What is the basic difference between re-insurance and insurance claim handling?
What is a Beggar thy neighbor policy?
Iam a MBA 1st sem student so how do fase the campus interview which books i study
what are the main component of bailout funds? what are the limitations of bailout fund?
What is Underwriting Commission?
What Was The Purpose Of Setting Up Nabard?
What is Call money rate?
How can we utilize your skills?
What are the different ways to value a company, a share, and a bond?
What is fixed assets turnover ratio? What does it indicate?
What kind of object analysis is used to compare trading activities?