New SIDBI Grade A New Batch Starts on Nov 18

    Register

    Question

    Capital structure of a firm influences the:

    A Risk Correct Answer Incorrect Answer
    B Return Correct Answer Incorrect Answer
    C Both Risk and Return Correct Answer Incorrect Answer
    D Return but not Risk Correct Answer Incorrect Answer
    E None of the above Correct Answer Incorrect Answer

    Solution

    The capital structure of a firm refers to the way it finances its operations through a combination of debt and equity. This mix of financing sources can affect both the risk and return profile of the firm.

    Practice Next

    Relevant for Exams: