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Which of the following criteria would be determinants of the appropriate ratio of debt to equity if a company should not take on more debt
Which of the following criteria would be determinants of the appropriate ratio of debt to equity if a company should not take on more debt that can be serviced under conservative economic forecasts? I. Maximisation of shareholder wealth II. Industry norms III. History of the ratio for the firm IV. The stage of the current economic cycle V. Limit imposed by lenders Company's capacity to service debt
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