FIN2101 BUSINESS FINANCE II
FIN2101 BUSINESS FINANCE II
Module 7 Capital Structure
Module 7 Capital Structure
Student activities Reading TeXt, Chapter 13(pp. 477-96 only) a Text Study Guide, Chapter 13(part only study book module 7 Tutorial activities a Tutorial Workbook self Assessment Activity 7.1 Text study Guide chapter 13 t/F,8,9 810:MC5,6,7,12,14,15
Student Activities Reading ◼ Text, Chapter 13 (pp. 477-96 only) ◼ Text Study Guide, Chapter 13 (part only) ◼ Study Book, Module 7 Tutorial Activities ◼ Tutorial Workbook, Self Assessment Activity 7.1 ◼ Text Study Guide, Chapter 13, T/F 1, 7, 8, 9 & 10; MC 5, 6, 7, 12, 14, 15
Introduction A company may issue several types of securities in varying combinations, but what it tries to do is find the combination that will maximise its overall market value a Capital structure is the proportionate relationship between a company's debt and equity Capital structure is the debt vs equity question. Should the company have some debt in its capital structure?
Introduction ◼ A company may issue several types of securities in varying combinations, but what it tries to do is find the combination that will maximise its overall market value. ◼ Capital structure is the proportionate relationship between a company’s debt and equity. ◼ Capital structure is the debt vs equity question. Should the company have some debt in its capital structure?
Introduction A financing decision Investment decisions are critical in determining returns to shareholders a Just how important financing decisions are has been subject to much debate
Introduction ◼ A financing decision. ◼ Investment decisions are critical in determining returns to shareholders. ◼ Just how important financing decisions are has been subject to much debate