The optimum capital structure
A) minimizes the cost of capital only.
B) minimizes the stock price only.
C) minimizes stock price will maximizing the cost of capital.
D) minimizes the costs of capital while maximizing the stock price.
Question 2
Capital structure refers to
A) the ratio of equity to debt.
B) the ratio of common stock to preferred stock.
C) the ratio of debt to equity.
D) the ratio of cash to current liabilities