The relative proportion of debt, equity, and other securities that a firm has outstanding constitute its: A) asset ratio B) current ratio C) capital structure D) retained earnings

Business Dec 10, 2020

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

A) asset ratio

B) current ratio

C) capital structure

D) retained earnings

Expert Solution

The correct answer to the given question is option C) capital structure.

The relative proportion of debt, equity and other securities that a firm has outstanding constitute its capital structure. These securities are used to raise the overall capital required to invest in the assets and operations of the firm.

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