______ Activities Focus on Providing Valuable Assets to a Business

question 61

Multiple Choice

______ activities focus on providing valuable assets to a business.

• A) Investing
• B) Marketing
• C) Selling
• D) Operating

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Definitions:

Target Capital Structure

The ideal mix of debt, equity, and other financing sources a company aims to maintain to fund its operations and growth.

Optimal Capital Structure

The most favorable mix of debt and equity financing that minimizes the company's cost of capital and maximizes its value.

EPS

Earnings Per Share, a financial metric used to indicate the profitability of a company on a per-share basis.

Net Income

The total profit of a company after all expenses and taxes have been deducted from revenue.