The financial mix or influence of all types of capital of a business firm is the capital structure of the company. To work for the company, one needs to understand it fully and as a student you are expected to understand, learn and comprehend about the whole structure.
The capital structure is the primary structure of the company
The reason behind this is as follows
- It defines and suggests the company to the extent where it employs it borrowed money.
- The change in financial mix will impact the shareholders’ value and thus the company’s value will be at stake.so the structure is the beam or backbone of the company.
- If not handled carefully, it can result in bankruptcy.
As a student you are need to learn and comprehend the topic. It includes the debt, shares and the various other points which directly or indirectly affects the whole structure. Our theory of capital structure homework help assists you in the process.
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The difficulties faced by the students while pursuing the topic
Firstly there are two types of capital
So you need to understand both of them. Then comes the allocation of it and calculating the effect of the same. You are expected to understand the impact and the correct method to get the maximum gain. Here one is given assignments to understand the structure.
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The different theories of the capital structure
- The net income theory
- Net functioning income theory
- Old-style approach or theory
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