The optimal capital structure is achieved when: a. debt-to-equity ratio = 1. b. the return...
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Accounting
The optimal capital structure is achieved when: a. debt-to-equity ratio = 1. b. the return on equity is maximized with respect to interest costs before taxes. c. the debt-to-equity ratio is such that interest costs exceed the return on equity. d. the debt-to-equity ratio is such that the weighted cost of total capital (WACC) is minimal.
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