Poor capital structure decisions can result in ________ the cost of capital, resulting in ________ acceptable investments. Effective capital structure decisions can ________ the cost of capital, resulting in ________ acceptable investments.
A) increasing; fewer; lower; more
B) decreasing; more; higher; fewer
C) increasing; more; lower, fewer
D) decreasing; fewer; higher; more

Question

Quizplus · Accepted Answer

Poor capital structure decisions can increase the cost of capital, leading to fewer acceptable investments. Conversely, effective capital structure decisions can lower the cost of capital, resulting in more acceptable investments.

Poor Capital Structure Decisions Can Result in ________ the Cost