Which of the Following Is NOT a Capital Structure Question

question 103

Multiple Choice

Which of the following is NOT a capital structure question?

• A)A delivery company chooses to buy more trucks.
• B)A manufacturing firm chooses to take the discount for paying accounts payable early.
• C)A retail firm chooses to use a new supplier.
• D)None of the above are capital structure questions.

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Definitions:

Price Floor

A government-imposed minimum price for goods or services, intended to prevent prices from falling below a certain level.

Market-clearing Price

The price at which the quantity demanded by buyers equals the quantity supplied by sellers, eliminating any surplus or shortage in the market.

Surplus

The condition in which the quantity of a good or service supplied exceeds the quantity demanded at the current price.

Foreign Currency

Currency used in a country other than one's own, involved in international trade, investments, and travel.