_____ Is a Measure of the Amount of Debt Relative

question 74

Multiple Choice

_____ is a measure of the amount of debt relative to total investment.

• A) Cost of capital
• B) Financial leverage
• C) Optimum capital structure
• D) Financial risk

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Definitions:

Preference

An individual's choice or inclination toward a particular option or thing over another.

Adjustment

The process of adapting or becoming accustomed to new conditions, situations, or environments.

Demands

Refers to the requirements or needs that must be met in various contexts, such as job demands in the workplace.

Environment

Environment refers to the surroundings or conditions in which a person, plant, or animal lives or operates, encompassing both natural and built settings.