The Issue of Corporate Capital Structure Has Similarities to College

question 94

Multiple Choice

The issue of corporate capital structure has similarities to college students' financial situations because:

• A) Many students use borrowed funds to finance their education.
• B) Most finance students will ultimately work for a major corporation and will make decisions as to how the firm finances its investment in assets.
• C) using debt to finance one's education is similar to issuing stock to finance investment in a firm's assets
• D) both (a) and (c)

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