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Capital structure decisions include determining: 1. which one of two projects to accept. 2. how to...

Capital structure decisions include determining:

1. which one of two projects to accept.

2. how to allocate investment funds to multiple projects.

3. the amount of funds needed to finance customer purchases of a new product.

4. how much debt should be assumed to fund a project.

5. how much inventory will be needed to support a project.

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Answer #1

The Correct answer choice is (4). How much debt should be assumed to fund a project Capital structure decisions include determining how much debt should be assumed to fund a project. The Decision to accept one of two projects and the allocation of investment funds to multiple projects is to be made under Capital Budgeting Technique.

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