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Capital structure refers to the following. Multiple Choice it refers to the fact that the balance sheet must be structured to have assets equal debt

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Capital structure refers to the following. Multiple Choice it refers to the fact that the balance sheet must be structured to have assets equal debt plus equity. It is the structure of how debt and equity offerings are issued. It is the mix of debt, preferred stock, and common stock used to finance assets, and it is expressed by the weights of the capital components. It is the structure of how the tax rate is used to adjust the before tax and after-tax cost of debt

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