The mixture of liabilities and stockholders' equity a business uses is called its:

Question

Quizplus · Accepted Answer

Capital structure refers to the combination of debt and equity that a company uses to fund its business operations. It is the framework through which a company seeks to raise capital, and is determined by a number of factors including the company's growth prospects, borrowing capacity, tax considerations, risk appetite, and investors' expectations. A company's capital structure can have a significant impact on its financial health and ability to grow, and is an important consideration for investors and creditors.

The Mixture of Liabilities and Stockholders' Equity a Business Uses