The sources of money from which long-term finance is raised, as well as the proportion of the overall amount raised utilizing these sources of funds, are important considerations in a company's financing or capital structure choice and what top management believe (or at least say) is important for a company's capital structure. Managers, as business insiders, tend to have greater information about the firm's value, hence they will be hesitant to issue additional equity if they believe the firm is undervalued, because issuing new equity dilutes current shareholders' holdings. Briefly explain in your words the factors that affect capital structure decisions.