Serving a country, city, or other area, including the services and facilities necessary for its economy to function. It is composed of long-term debt, prefer­ence share capital and shareholders’ funds. Capital structure refers to the _____. Financial structure refers to the way as to how the firm’s assets are financed. d The capital structure is the particular combination of debt and equity used by a company to finance its overall operations and growth. It is the mix of different sources of long term funds such as equity shares , preference shares , long term debt , retained earnings etc. Infrastructure is the set of fundamental facilities and systems that support the sustainable functionality of households and firms. Wells Fargo & Co. has got first rank in this list. Capital structure refers to a company's mix of capital, which consists of a combination of debt and equity. Capital structure refers to the amount of debt Market Value of Debt The Market Value of Debt refers to the market price investors would be willing to buy a company's debt at, which differs from the book value on the balance sheet. a. types of long-term fixed assets that a firm employs in its operations. MIBM DBA Answer Sheets – _____ of a firm refers to the composition of its long-term funds and its capital structure 30 Jun 2020 tmadmin Financial Management 16 MIBM BBA Answer Sheets , MIBM DBA Answer Sheets , MIBM EMBA Answer Sheets , MIBM MBA Answer Sheets , MIBM PGDBA Answer Sheets. A critical assumption of the net operating income (NOI) approach to valuation is: that debt and equity levels remain unchanged. Capital structure refers to the degree of long term financing of a business concern as in the form of debentures, preference share capital and equity share capital including reserves and surplus. total assets minus liabilities. In other words, it includes all long-term “Capital structure is the combination of debt and equity securities that comprise a firm’s financing of its assets.”—John J. Hampton. d. combination of short-term and long-term assets held by a firm. a) long-term debt, preferred stock, and common stock equity. It is composed of long-term debt, prefer ence share capital and Capital Structure Decision: A firm’s capital structure or financing decision is concerned with obtain­ing funds to meet firm’s long term investment requirements. Capital Structure Capital structure refers to how a business is financing its operations. the mix of long-term debt and equity financing. Cashflows do not change and therefore It allows a firm to understand what kind of funding the company uses to finance its overall activities and growth. (a) Current liabilities (b) Working capital (c) Fixed assets. It is made up of debt and equity securities and refers to permanent financing of a firm. b. mixture of debt and equity that a firm uses to finance its … It is made up of debt and equity securities and refers to permanent financing of a firm. Long-term debt, preferred stock, and common stock equity. Working Capital Management Definition The term ‘working capital management’ primarily refers to the efforts of the management towards effective management of current assets and current liabilities. Capital structure ratios tend to fall within a narrow range within industries. Long time dept preferred stock and common stock equity. 1. current assets and current liabilities. 12/ The cost of a security is a function of: the security's volatility. Current assets and current liabilities. Capital structure is sometimes referred to as "financial leverage," as each business has to consider the optimal ratio for running its business between debt and … _____ of a firm refers to the composition of its long-term funds and its capital structure. c. mixture of assets that a firm has on its balance sheet. In other words, it shows the proportions Capital Structure Decision: A firm’s capital structure or financing decision is concerned with obtain ing funds to meet firm’s long term investment requirements. The term "capital structure" refers to: long-term debt, preferred stock, and common stock equity. Here, capital structure focuses on the balance between funding from equities and financing from long-term debt. It is made up of debt and equity securities and refers to permanent financing of a firm. The term capital structure refers to. current assets and current liabilities. The capital structure of a firm refers to the firm's: a. current assets and liabilities. 7. Capital structure refers to the composition of various long term sources of funds such as debentures, ordinary shares, preference shares, reserve and surplus etc. Current asset and current liability. Capital structure refers to the mix of debt and equity financing a company uses to fund its operations. It allows a firm to understand what kind of funding the company uses to finance its overall activities and growth. Capital structure is otherwise called as leverage. The term "capital structure" refers to: a) long-term debt, preferred stock, and common stock equity. Social capital is about the value of social networks, bonding similar people and bridging between diverse people, with norms of reciprocity (Dekker and Uslaner 2001 [11] ; Uslaner 2001 [12] ). A firm’s capital structure is typically expressed as a debt-to-equity or debt-to-capital ratio. What does it refers to and who funds and controls GPS? B. Long-term debt, preferred stock, and common stock equity. Current assets and current liabilities. Some authors see social capital as an economic term and do not adequately take account of its multi – dimensional and multi – disciplinary nature, for example Day (2002) [10]. They don’t offer better tax benefits, C. They offer lesser returns compared to traditional insurance policies. In other words, it means the composition of the firm's long term funds comprising of equity, preference and long-term loans. 1. Capital structure refers to the way that a business is financed—the mix of debt and equity that allows a business to keep the doors open and the shelves stocked. Capital – What is capital? total assets minus liabilities. Capital Structure, by contrast, compares equities to long term liabilities. The capital structure of a company refers to the mixture of equity and debt finance used by the company to finance its assets. b. mixture of debt and equity that a firm uses to finance its assets. A. Capital Structure is the mix of the long-term sources of funds used by a firm. Capital structure refers to a company’s outstanding debt and equity. Shareholders equity. Regulatory jurisdictional fight between SEBI and IRDA, B. A firm's capital structure. c) total assets minus liabilities. b) current assets and current liabilities. Capital structure refers to a company’s outstanding debt and equity. B. the length of time needed to repay debt. Capital structure refers to how the firm finances its operations and growth through a combination of _____. Capital structure, on the other hand, refers to the makeup of the company's underlying value. “Capital structure refers to the mix of long-term sources of funds, such as, debentures, long-term debts, preference share capital and equity share capital including reserves and surplus.”—I. Capital Structure is the mix of the long-term sources of funds used by a firm. Capital structure decisions depend upon several factors. Learn vocabulary, terms, and more with flashcards, games, and other study tools. It refers to the specific mixture of long-term debt and equity, which the firm uses to finance its assets. However, a more frequently used term is capital structure which is […] b) current assets minus current liabilities. and/or equity Equity Value Equity value can be defined as the total value of the company that is attributable to shareholders. 1 Capital structure refers to: a. the determination of the ideal mix of current versus long-term assets, b. the methods by which fixed assets are used to produce a tangible product. It is made up of debt and equity securities and refers to permanent financing of a firm. A. It includes both, long-term as well as short-term sources of funds. A company's ideal capital structure will depend on its specific situation, including factors like the cost of capital, the business cycle, and any existing debt or equity. It has got 45th rank. b. long-term debt and equity. A critical assumption of the net operating income (NOI) approach to valuation is: that debt and equity levels remain unchanged. Capital can include cash or other assets introduced into a business by the owners Keep track of your company’s cashflow and assets with online accounting software.Created with for freelancers and SMEs in the UK & Ireland, Debitoor adheres to all UK & Irish invoicing and accounting requirements and is approved by UK & Irish accountants. A. a. types of long-term fixed assets that a firm employs in its operations. Total assets minus liabilities. debt vs. share capital. Capital structure is the mix of the long-term sources of funds used by a firm. b) current assets and current liabilities. The term "capital structure" refers to: long-term debt, preferred stock, and common stock equity. the length of time needed to repay debt. Debt and equity capital are used to fund a business’s operations, capital expenditures, acquisitions, and other investments. In other words, it means the composition of the firm's long term funds comprising of equity, preference and long-term … The term "capital structure" refers to: A. the manner in which a firm obtains its long-term sources of funding. It is composed of long-term debt, prefer­ence share capital and shareholders’ funds. Each type of capital has its benefits and drawbacks, and a substantial part of wise corporate stewardship and management is attempting to find the perfect capital structure regarding risk/reward payoff for … One is the firm's business risk—the risk pertaining to the line of business in which the … Students (upto class 10+2) preparing for All Government Exams, CBSE Board Exam, ICSE Board Exam, State Board Exam, JEE (Mains+Advance) and NEET can ask questions from any subject and get quick answers by subject teachers/ experts/mentors/students. Generally speaking, a company with a high level of debt compared to equity is thought to carry higher risk , though some analysts do not believe that capital structure … d. organizational chart. 1 Capital structure refers to: a. the determination of the ideal mix of current versus long-term assets, b. the methods by which fixed assets are used to produce a tangible product. Capital structure is the mix of the long-term sources of funds used by a firm. In contrast, capital structure refers to the amount of long-term debt, preferred stock and common stock used to finance a firm’s assets. current liabilities vs. current asset. Managers, therefore, use industry capital structure ratios as a guide for optimizing their own company's capital structures. d) shareholders' equity. Capital structure refers to the _____. C. Total asset minus liabilities. Capital structure usually refers to how much of each type of financing a company holds as a percentage of all its financing. Net working capital refers to a) total assets minus fixed assets. The WACC formula is = (E/V x Re) + ((D/V x Rd) x (1-T)). Serving a country, city, or other area, [1] including the services and facilities necessary for its economy to function. c. the mix of current assets and current liabilities. ________ of a firm refers to the composition of its long-term funds and its capital structure. Generally speaking, a company with a high level of debt compared to equity is thought to carry higher risk, though some analysts do not believe that … shareholders' equity. The term "capital structure" refers to: a) long-term debt, preferred stock, and common stock equity. Infrastructure is the set of fundamental facilities and systems that support the sustainable functionality of households and firms. c) total assets minus liabilities. c) total assets minus liabilities. c) Under-capitalisation current assets and current liabilities. Financial Structure is a ratio of compares a firm's total liabilities total equities, thus including the entire Liabilities+Equities side of the Balance sheet. Thus, capital structure is only a part of the financial structure and it represents the permanent financing of the company. Capital structure is also known as capitalization. This guide will provide an overview of what it is, why its used, how to calculate it, and also provides a d… b. long-term debt and equity. A capital structure refers to the debt-equity ratio which provides insight on how risky a company is. The term "capital structure" refers to: asked Mar 22, 2019 in Business Studies by Jahanwi (73.4k points) cbse class-12 0 votes 1 answer What is the full form of GPS? D. Shareholders equity. Various authors have defined capital structure in different ways. Though ULIPs (Unit Linked Insurance Plan) are considered to be a better investment vehicle it has failed to capture the imagination of the retail investors in India because of which of the following reasons? 2. Additionally, we will explain marginal cost of capital . Some companies could be all-equity-financed and have no debt at all, whilst others could have low d) shareholders' equity. The term "capital structure" refers to: Long-term debt, preferred stock, and common stock equity A critical assumption of the net operating income (NOI) approach to valuation is That ko remains constant regardless of changes in leverage Capital structure decisions depend upon several factors. 82. The term capital structure refers to_____. In other words, it shows the proportions of senior debt, subordinated debt and equity (common or … The term "capital structure" refers to: Multiple Choice the types of assets a firm acquires. Start studying Capital Structure: MM. Long time dept preferred stock and common stock equity. CAPITAL STRUCTURE Capital structure refers to the amount of debt and/or equity employed by a firm to fund its operations and finance its assets. Structures represent financial leverage ratios, by which lenders and owners share business risks and rewards. Capital structure in corporate finance is the way a corporation finances its assets through some combination of equity, debt, or hybrid securities.It refers to the make up of a firm's capitalisation. The term capital structure refers to_____. Capital structure refers but to composition of long term funds that include debts, share capital and preference share capital, Capital structure doesn't include all reserves. 11/ The firm's capital structure refers to its: short-term vs. long-term debt. The term "capital structure" refers to: a) long-term debt, preferred stock, and common stock equity. A liberal arts college, an independent institution of higher education focusing on undergraduate education, such as Williams College or Amherst College. a) Capitalisation . Broadly speaking, there are two forms of capital: equity capital and debt capital. Preferred Stock, Equity Stock, Reserves and Long- term Debts). Capital structure refers to the way that a business is financed—the mix of debt and equity that allows a business to keep the doors open and the shelves stocked. Hence, the first and second statement is incorrect. One is the firm's business risk—the risk pertaining to the line of business in which the company is involved. The term ‘fund’ refers to …… (a) Current liabilities (b) Working capital (c) Fixed assets (d) Non – current assets, The term “fund” refers to ______. Capital structure refers to the permanent financing of the company, represented by owned capital and loan/debt capital (i.e.. Capital structure refers to the permanent financing of the company, represented by owned capital and loan/debt capital (i.e.. that dividends increase at a constant rate. M. Pandey. What is Capital Structure? the security's trading volume. Capital structure usually refers to how much of each type of financing a company holds as a percentage of all its financing. CAPITAL STRUCTURE Capital structure refers to the amount of debt and/or equity employed by a firm to fund its operations and finance its assets. In other words, it refers to the left hand side of the Balance Sheet as represented by total liabilities. the security's cost relative to the cost of retained earnings. HDFC bank has been named among 50 most valuable banks in 2014. b) Over-capitalisation . Within higher education, the term can be used to refer to: [5] A constituent part of a collegiate university, for example King's College, Cambridge, or of a federal university, for example King's College London. Debt is a cheaper source of financing, as compared to equity. Equity consists of a company's common and … total assets minus liabilities. a) Capitalisation b) Over-capitalisation c) Under-capitalisation d) Market capitalization 8. … b) current assets and current liabilities. shareholders' equity. _____ of a firm refers to the composition of its long-term funds and its capital structure. An optimum or balanced capital structure means an ideal The term "capital structure" refers to: long-term debt, preferred stock, and common stock equity. Capital assets can include cash, cash … Preferred Stock, Equity Stock, Reserves and Long- term Debts). The value of the firm;It is defined as the sum of market value of debt (B) and market value of equity (S) This bank belongs to which country. Capital structure refers to the mix of debt and equity financing a company uses to fund its operations. Define Capital Structure, Meaning of of Capital Structure Capital Structure relates to the combination of sources from which long term funds are required to raise the business. Capital structure refers to the composition of various long term sources of funds such as debentures, ordinary shares, preference shares, reserve and surplus etc. Shareholders equity. There should be a proper mix between debt capital and equity capital. Capital Structure Capital structure refers to the amount of debt and/or equity employed by a firm to fund its operations and finance its assets. The term capital structure refers to the percentage of capital (money) at work in a business by type. The Chameli Devi Jain Award is given for an outstanding woman ____? Capital assets are assets of a business found on either the current or long-term portion of the balance sheet. Managers, therefore, use industry capital structure ratios as a guide for optimizing their own company's capital … The presumption is that firms use funds from both sources to acquire income-producing assets. Value of the firm is not affected by the change in capital structure 2. The optimal capital structure of a firm is often defined as the proportion of debt and equity that result in the lowest weighted average cost of capital (WACCWACCWACC is a firm’s Weighted Average Cost of Capital and represents its blended cost of capital including equity and debt. Define Capital Structure, Meaning of of Capital Structure. Debt capital refers to:  a. money raised through the sale of shares. 83. 2. c. the mix of current assets and current liabilities. 2. c. available cash. Furthermore, we will show how WACC and Capital Structure can be leveraged to find out the viability of the capital project. long-term liabilities vs. capital assets. What does the Pie Model explain? Capital structure ratios tend to fall within a narrow range within industries. A company's ideal capital structure will depend on its specific situation, including factors like the cost of capital, the business cycle, and any existing debt or equity. It's quantified as the ratio of net shareholder equity to total debt on the balance sheet. Capital Structure relates to the combination of sources from which long term funds are required to raise the business. Which of the following is not a primary function of a Bank? A critical assumption of the A firm’s capital structure is typically expressed as a debt-to-equity or debt-to-capital ratio. b) current assets and current liabilities. The capital structure is how a firm finances its overall operations… shareholders' equity. The capital structure of a firm refers to the firm's: a. current assets and liabilities. 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