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Question 5 The optimal capital structure is the one that: Group of answer choices Is fully unlevered. Maximizes the value of the firm. Minimizes taxes.

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Question 5 The optimal capital structure is the one that: Group of answer choices Is fully unlevered. Maximizes the value of the firm. Minimizes taxes. Has 50% debt and 50% equity. Generates the highest cost of capital. Question 6 A small stock dividend (less than 20% to 25%) can lead to which one of the following? Group of answer choices Decrease in cash. Increase in common stock. Increase in retained earnings. Decrease in total owner's equity. Decrease in capital in excess of par value

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