The relative proportion of debt, equity, and other securities that a firm has outstanding constitute
its

Question

Quizplus · Accepted Answer

The relative proportion of debt, equity, and other securities that a firm has outstanding constitute its capital structure. The asset ratio refers to the proportion of a firm's assets to its liabilities and does not take into consideration the type of securities issued. The current ratio measures a firm's ability to pay back its current liabilities with current assets, but again does not specifically pertain to the type of securities issued. Therefore, the correct answer is B) capital structure.

The Relative Proportion of Debt, Equity, and Other Securities That