Capital structure

1. Which of the following would increase the likelihood that a company would increase its debt ratio in its capital structure? a. An increase in costs incurred when filing for bankruptcy. b. An increase in the corporate tax rate. c. An increase in the personal tax rate. d. None of the statements above is correct. ANSWER: B An increase in the corporate tax rate would mean that firms would get larger tax breaks for interest payments. Therefore, firms have an incentive to increase interest payments

expenses were not well managed. So, one might say that the operational efficiency of the company is not up to industry standards. Considering the capital structure of the companies, till 2014 BWLD, was the only company that did not have debt on its accounting books. Theoretically, that was not the optimal capital structure, because raising the capital from debt would give

European Journal of Economics, Finance and Administrative Sciences ISSN 1450-2275 Issue 11 (2008) © EuroJournals, Inc. 2008 http://www.eurojournalsn.com Testing Capital Structure Theories: Are the Models’ Assumptions Correctly Specified? Carmen Cotei Department of Economics, Finance and Insurance University of Hartford, 200 Bloomfield Ave., West Hartford, CT, 06117, USA E-mail: cotei@hartford.edu Joseph Farhat Department of Finance Central Connecticut State University, 1615 Stanley St., New Britain

Operating Lease financing and financial Performance of State owned sugar manufacturing firms in Kenya Isabwa Harwood Kajirwa1 Omete F. Ikapel2 1,2Department of Business Management, University of Eldoret, P.O. Box 1125-30100, Eldoret, Kenya, Email: harwoodisabwa@yahoo.com Abstract This study analyses the effect of operating lease finance on financial performance of state owned sugar firms in Kenya. The study used the retrospective research design in collection of data. A target population of

between Inside Owner/Managers and outside owners 3. Conflicts between managers and shareholders Conflicts between stockholders and creditors Conflict between shareholders and creditors is common for the company which use debt capital to form an optimum capital structure. As mentioned earlier, agency relation exist when one party works as an agent of the principal. In an organization management

Business Financing and the Capital Structure Throughout this paper I will attempt to give financial advise to a business that will have direct impact on operations and the ability to successfully compete in the marketplace. Some of the tasks involved in delivering sound advice to this business is the first task that consist of describing the advice that I would give to the client for raising business capital using both debt and equity options in today’s economy, while outlining the major advantages

FINANCE 3110 (CRN 83872) Principles of Finance Fall 2014 Principles of Finance FINANCE 3110 (CRN 83872) - Fall 2014 School of Business, Middle Georgia State College Tuesday, 5:30 PM-8:00 PM, PSC 248 INSTRUCTOR Dr. Shawn Saeyeul Park Middle Georgia State College School of Business Email: shawn.park@mga.edu Office: PSC 364 (Phone: 478-471-2886) Office Hours: M,W 10:00 – 11:30 AM; T,Th 10:00 – 11:15 AM; 1:30 – 2:45 PM WRC: M,W 6:45 – 7:45 PM or by appointments Course Website: D2L COURSE DESCRIPTION

structure and capital budgeting. In the working capital management policy, the finance manager will manage the levels of current assets (cash, inventory, accounts receivables, etc.) and current liabilities (accounts payables, taxes payables, etc.). Several techniques such as the Cash Conversion Cycle, Economic Order Quantity and others can be used. In the capital structure policy, the finance manager will raise the capital through debt and/or equity. It is worth noting that each financing option

and work as a researcher and lecturer in this field at an accredited university. I am extremely interested in issues related to corporate finance and like to conduct research, especially in the domain of financing, entrepreneurial financing, capital structure, valuation, merger and acquisition, investment banking, and real estate finance. Therefore, I need to acquire extensive knowledge in the fields of economics, finance, accounting, statistics, and applied mathematics. I believe that PhD in finance

business? b. How did the Sulzberger family manage to retain control on the NYT after it went public? c. How does the NYT dual class structure differ from the one used by Dow Jones, prior to its takeover by Rupert Murdoch? d. What explains the behavior of the NYT institutional shareholders – not just Morgan Stanley but also Private Capital Management, T Rowe Price and Vanguard? e. How should Arthur Sulzberger, Jr. respond to Morgan Stanley’s proposal? 2. Valuing