Question

Capital structure decisions include determining: Group of answer choices The terms of a bond issue to fund a project. the amount of funds needed to finance customer purchases of a new product. how much inventory will be needed to support a project.

Answer 1

Answer:

The correct answer is letter "A": The terms of a bond issue to fund a project.

Explanation:

Capital structure is the mixture of a company's debt and equity to fund its long-term operations and growth. Common stock is the most common type of capital for publicly traded companies, which typically forms the majority of a company's stock ownership. Bonds are another firm companies raises funds from under a repayment promissory note. Capital structure helps investors to assess the optimal value of a firm's capital expense.