A Firm's Capital Structure Consists of Which of the Following

question 104

Multiple Choice

A firm's capital structure consists of which of the following?

• A) The amount of debt that a firm utilizes
• B) The amount of debt and preferred stock that a firm utilizes
• C) The amount of interest-bearing debt, preferred stock, and common stock that a firm utilizes
• D) The mix of long and short-term debt used by the firm.

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Definitions:

Journal Entries

The basic record-keeping of a company's financial transactions, recorded in the chronological order.

Paid Voucher File

A collection of documents that record and confirm the payments made by a business, often including purchase orders, receipts, and payment advice.

Creditor's Name

The name of the individual or entity that is owed money by a debtor for provided goods, services, or loans.

Voucher Number

A unique identifier assigned to a voucher, which is a document authorizing a payment or receipt in the accounting system.