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Firms can finance its assets through debt, equity, or a combination of both. This combination is known as capital structure. Aside from the definition just

Firms can finance its assets through debt, equity, or a combination of both. This combination is known as capital structure. Aside from the definition just provided, discuss capital structure by outlining the advantages and disadvantages of using debt, equity, or a mixture to finance assets. In addition, define and discuss financial leverage and its role in obtaining an optimal capital structure.

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