Question: I need help One important consideration in capital structure decisioning is the company's need for financial flexibility. This is particularly true from a debt servicing

I need help

One important consideration in capital structure decisioning is the company's need for financial flexibility. This is particularly true from a debt servicing capacity (the timely repayment of contractual obligations). A firm must be cautious before considering additional debt. One way is to determine their 'margin of safety' meaning the firm must assess their ability to repay debt obligations in various stages of the economy. What measures or metrics can a firm use to assess their debt levels and how are these effective

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