A Firm Should Raise Capital According to Its Optimal Capital

question 73

Multiple Choice

A firm should raise capital according to its optimal capital structure so as to maximize its _____. 

• A)earnings per share (EPS)
• B)stock price
• C)weighted average cost of capital (WACC)
• D)net income
• E)retained earnings

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Definitions:

CPU

The Central Processing Unit is the main element in a computer responsible for carrying out the majority of computational tasks.

Control Unit

The component of a computer's central processing unit (CPU) that directs the operation of the processor.

Overclocking

The practice of increasing the clock speed of a computer's component, such as the CPU, beyond the manufacturer's specifications to achieve higher performance.

CPU

The Central Processing Unit, which is the primary component of a computer that performs most of the processing inside a computer.