New Enroll in RBI Gr B 2025 Exclusive New Batch on March 18

    Question

    What does the term "capital structure" refer to in the

    context of corporate finance?
    A Long-term debt, preferred stock, and equity shares Correct Answer Incorrect Answer
    B Current assets and current liabilities Correct Answer Incorrect Answer
    C Net working capital Correct Answer Incorrect Answer
    D Shareholder's equity Correct Answer Incorrect Answer
    E None of the above Correct Answer Incorrect Answer

    Solution

    In the context of corporate finance, the term "capital structure" refers to the mix of different types of financing that a company uses to fund its operations and growth. This mix includes long-term debt, preferred stock, and equity shares.

    Practice Next

    Relevant for Exams: