Which of the following are not considered a part of the firm's capital structure?
A) Long-term debt
B) Retained earnings
C) Inventory
D) Preferred stock

Question

Quizplus · Accepted Answer

Inventory is not a part of a firm's capital structure as it is an asset on the balance sheet. The capital structure includes the various funding sources used by a company, such as debt, equity, and retained earnings. Long-term debt, retained earnings, and preferred stock are considered a part of a firm's capital structure.

Which of the Following Are Not Considered a Part of the Firm's