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Niharika Anand

Trade-off Theory of Capital Structure - 0 views

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Trade-off Theory of Capital Structure Cost of Financial Distress Purpose of the Trade-off Theory of Capital Structure

shared by Niharika Anand on 13 Oct 16 - No Cached
  • Niharika Anand on 13 Oct 16
     
    Trade-off theory of capital structure refers to the idea that a company chooses how much debt finance and how much equity finance to use by balancing the costs and benefits . Trade-off theory of capital structure basically entails offsetting the costs of debt against the benefits of debt.
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