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Explain the pecking-order theory of capital structure. How might this affect the optimal capital structure for a firm?
Essential Tension
The necessary pressure or conflict arising from the coexistence of contrasting and sometimes conflicting forces, ideas, or requirements.
Existing Technologies
Currently available tools, machines, devices, or methods employed in the creation, maintenance, or improvement of products or services.
Innovating
Innovating involves introducing new ideas, methods, or products to effect positive change or improvement.
Superior Innovation
Exceptionally advanced or novel changes in products, processes, or ideas that significantly surpass current standards or practices.
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