Question

Traditional approach of apital structure​

Answer 1

Answer:

The traditional theory of capital structure says that a firm's value increases to a certain level of debt capital, after which it tends to remain constant and eventually begins to decrease if there is too much borrowing. ... A blend of equity and debt financing can lead to a firm's optimal capital structure.

Explanation:

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Answer 2

Answer:

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Here's your answer

The traditional theory of capital structure says that a firm's value increases to a certain level of debt capital, after which it tends to remain constant and eventually begins to decrease if there is too much borrowing. ... A blend of equity and debt financing can lead to a firm's optimal capital structure.