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<p><strong>(a) Total of Liability side of Balance Sheet, </strong></p> <p><strong>(b)Equity Funds, Preference Capital and Long term Debt,</strong></p> <p><strong>(c) Total Shareholders Equity,</strong></p> <p><strong>(d) Types of Capital Issued by a Company.</strong></p>
B. Common and Preferred Equity, as well as Long Term Borrowings and Retained Earnings.
A successful finance manager will know how to balance the rewards of lower cost of capital (Mainly borrowed funds), with the risks associated with such borrowings.
b
(b)Equity Funds, Preference Capital and Long term Debt
The capital structure is how a firm finances its overall operations and growth by using different sources of funds.
A mix of a company's long-term debt, specific short-term debt, common equity and preferred equity. The capital structure is how a firm finances its overall operations and growth by using different sources of funds.
Debt comes in the form of bond issues or long-term notes payable, while equity is classified as common stock, preferred stock or retained earnings. Short-term debt such as working capital requirements is also considered to be part of the capital structure.
all kinds of sources of capital mentioned in option b
(b)Equity Funds, Preference Capital and Long term Debt,
Option B is right
b) long-term sources of funds employed in the business
(b)Equity Funds, Preference Capital and Long term Debt,
The capital structure is defined as a mix of debt and equity or any other long term sources of funds use to finance a firm's investment and operating activities.
structure gives the para-mind or directions of Financing decisions of organisation, like target Debt-equity ratio, interest coverage ratio and mode of other finances.
(b) is correct answer
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