1. This question is on capital structure.
   1. List and explain all the theories on capital structure.
   2. As the CEO of Pokebook, you are contemplating debt issuance. In particular, your CFO suggests a capital restructuring program where the company will issue $7 billion of perpetual debt. Beginning with the definition of a capital restructuring program, explain to your board of directors the reasons of issuing (or not issuing) debt and consequently to restructure the capital of Pokebook.
   3. What factors affect your decision to choose dividend or share repurchase as a way to distribute the money raised under the capital restructuring program?

2. You should highlight different factors (including those not covered in a) to get full credits. All parts have equal weights.