Examlex
What is the term that describes the brain's high responsiveness to environmental circumstances?
Debt-Equity Ratio
A measure of a company's financial leverage calculated by dividing its total liabilities by stockholders' equity; it indicates what proportion of equity and debt the company is using to finance its assets.
Levered Firm
A company that has debt in its capital structure, showing that it finances some of its operations through borrowing.
Static Theory of Capital Structure
A theory proposing that there is an optimal capital structure for a company, balancing the benefits and costs of debt versus equity financing to maximize value.
Financial Distress Costs
Expenses and losses incurred by a firm due to financial distress, including bankruptcy costs, agency costs, and the cost of lost opportunities.
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