Why capital structure is so crucial for the chief of any corporate department? Except investors and...
Why capital structure is so crucial for the chief of any corporate department? Except investors and chief of any company, who else will be worried?
Homework Answers
Capital structure is so crucial for the chief of any corporate department because of the following reasons.
1. A chief is an integral part of a future of the company's financial.
2. A chief plays an important role in a company's overall success.
3. Chief oversees the capital structure of the company by determining the best combination of debt, equity, and internal financing.
4. A chief has to keep capital structure in mind for the maximization of shareholders' wealth and for the increase in the company's value.
Except investors and chief of any company, those who else would be worried are shareholders, analysts, creditors, employees, and other members of management.
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