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Confused by the wording on this question. Would really appreciate any help or insight. Thx! The target capital structure of a firm is the capital
Confused by the wording on this question. Would really appreciate any help or insight. Thx!
The target capital structure of a firm is the capital structure that:
minimizes the operating risk of the firm's assets.
maximizes the tax shield created by debt.
minimizes the default risk of long-term debt.
maximizes the price of the firm's stock.
maximizes the dividends paid to common stockholders.
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