What is routers optimal capital structure

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What is Router’s optimal capital structure? Is the same debt ratio optimal regardless of whether the firm chooses operating Plan L or H? Does this optimal D/V ratio minimize risk as measured by either the coefficient of variation of ROE or the times interest earned ratio? Does it maximize the firm’s earnings per share? If not, then what is “optimal” about the optimal D/V ratio?

Reference no: EM13731012

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