Question
Is there a particular ratio of debt to equity in a company's capital structure that is optimal to help increase the wealth of ordinary shareholders?
"Is there a particular ratio of debt to equity in a company's capital structure that is optimal to help increase the wealth of ordinary shareholders?" Discuss in light of the theory and practice of capital structure.You may use graphs and practical examples to make your case.
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Financial accounting
Authors: Walter T. Harrison, Charles T. Horngren, William Bill Thomas
8th Edition
9780135114933, 136108865, 978-0136108863
