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Business Studies

Financing Decision

Financing dec...

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Financing decision involves making a judicious mix of debt and equity.

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Q. Of the total ________ term finance, the proportions to be raised by way of debt and/or equity is also a financial management decision.

___ refers to the proportion of debt and equity used for financing the operations of a business.

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Q. Market price of equity shares ________ if the benefits from a decision exceed the cost involved.

Q. A firm can only issue debt or equity as a source of finance. It cannot issue both at the same time.

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