Business Studies

Business Finance

Medium

Capital structure should emphasize on:-

Increasing the turnover of firm

Increasing the assets and liabilities of firm

Increasing the shareholders wealth

Increasing voting right of shareholders

✅ Correct Option: 3

An optimal capital structure should emphasize on increasing shareholders wealth. The right mix of debt and equity should minimise cost of capital and maximise market value of equity shares, thereby increasing shareholders' wealth.

2025: 22 May Shift 2

"Learning how to manage debt is what can put you ahead". Identify the concept highlighted in the aforesaid statement.

2025: 30 May Shift 2

The decision about the investment in new machinery is called_______.

2025: 14 May Shift 1

ABC Ltd. has debt equity ratio of 3:1, whereas XYZ Ltd. has debt equity ratio of 1:1. Name the advantage ABC Ltd will have over XYZ Ltd., when the rate of interest is lower than the rate of return on investment of the company.

2025: 29 May Shift 2

Identify the incorrect statement, from the options given below:

2026: 23 May Shift 2

What is the ideal capital structure a business needs in its industry

2026: 24 May Shift 1

Long term financial planning focuses on which kind of programmes?

Capital structure should emphasize on:-

Solution

Related questions:

Keyboard Shortcuts

CUET Business Studies Past Year Questions (Topic-Wise)