Interested to Buy Any Domain ? << Click Here >> for more details...
define optimal capital structure? illustrate with examples:
- 6 Answers
- 16265 Views
- I also Faced
- E-Mail Answers
Answer Posted / abhishek
The best debt-to-equity ratio for a firm that maximizes its value. The optimal capital structure for a company is one which offers a balance between the ideal debt-to-equity range and minimizes the firm's cost of capital. In theory, debt financing generally offers the lowest cost of capital due to its tax deductibility. However, it is rarely the optimal structure since a company's risk generally increases as debt increases.
Read more: http://www.investopedia.com/terms/o/optimal-capital-structure.asp#ixzz1wjYPdYhW
| Is This Answer Correct ? | 1 Yes | 0 No |
Post New Answer View All Answers
why do you choose MBA finance after your IT engineering?
What is dcf?
Explain the importance of organizational, culture and political issues in the proces of merger integration
How do you feel about committing yourself to another three years of exams?
What is capital deficit?
what is portfolio mgt and its scenerio in india? plz sugest me.
Who regulated Capital Market?
What is fairtrade??????????????
any one can explain the Dealer Management in the automobolie company?
What is Private Banking?
How candidates are recruited for marketing officer & asst. Manager posts?
Define FII? How does it benefit the government?
What are the additional covenants in term loan agreement to protect lenders?
Why you quite your job in six months??
What is the role of actuarial assistant in the insurance company?
