A General Rule for Managers to Follow Is to Set

question 77

Multiple Choice

A general rule for managers to follow is to set the firm's capital structure such that:

• A) the firm's value is minimized.
• B) the firm's value is maximized.
• C) the firm's bondholders are made well off.
• D) the firms suppliers of raw materials are satisfied.
• E) the firms dividend payout is maximized.

---

Definitions:

Currency Exchange

The process of converting one currency into another, commonly associated with international trade and travel.

Transactions

The act of conducting business, especially buying or selling goods, services, or assets.

Strengthens

To make or become stronger, more forceful, or more effective.

C$

Symbol representing the Canadian Dollar, the currency of Canada.