Which of the following is not a reason why target capital structure and actual capital structure tend

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Which of the following is not a reason why target capital structure and actual capital structure tend to differ?

A. Financing is often tied to a specific investment.

B. Companies raise capital when the terms are attractive.

C. Target capital structure is set for a particular project, while actual capital structure is measured at the consolidated company level.

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Corporate Finance Workbook Economic Foundations And Financial Modeling

ISBN: 9781119743811

3rd Edition

Authors: CFA Institute, Michelle R. Clayman, Martin S. Fridson, George H. Troughton

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Question Posted: Apr 25, 2024 01:01 AM

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Which of the following is not a reason why target capital structure and actual capital structure tend

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C is correct Companies generally r...View the full answer

Corporate Finance Workbook Economic Foundations And Financial Modeling

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