Break points can be determined by dividing the amount of funds available from each financing source at a fixed cost by the ____ capital structure proportion for that financing source.

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Break points can be determined by dividing the amount of funds available from each financing source at a fixed cost by the target capital structure proportion for that financing source. This method helps in identifying the levels of total financing at which the cost of capital for one or more funding sources will change.

Break Points Can Be Determined by Dividing the Amount of Funds