Business & Finance Homework Help
Reply with at least 200 words to each question and citation and reference to each question 1. How would a financial manager determine optimal capital structure? How this would fit in with the company’
Reply with at least 200 words to each question and citation and reference to each question
1. How would a financial manager determine optimal capital structure? How this would fit in with the company’s capital expenditures, growth plans and operating results?
2. In a “perfect world” capital market, how important is a firm’s decision to pay dividends versus repurchase shares? Under what conditions would you have a tax preference for share repurchase rather than dividends? Would managers acting in the interests of long-term shareholders be more likely to repurchase shares if they believed the stock to be either undervalued or overvalued?