Chapter 5: Capital Structure Flashcards
(12 cards)
1
Q
Define Optimal Capital Structure
A
2
Q
Define Target Capital Structure
A
3
Q
What are the 4 drivers of Target Structure
A
4
Q
What are Business Risks
A
5
Q
How are Business Risks measured
A
6
Q
How do Business Risks vary
A
7
Q
Define Financial Risks
A
8
Q
What is Modigliani & Miller’s theory
A
9
Q
What is the Trade-off theory
A
10
Q
What is the Signaling Theory
A
11
Q
What are factors affecting Capital Structure
A
12
Q
What are the determinants of Optimal Capital Structure
A
