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Which of the following factors does not affect the capital structure of a company?

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Which of the following factors does not affect the capital structure of a company?
  • ACost of capital
  • BComposition of the current assets
  • CSize of the company
  • DExpected nature of cash flows
Correct answer: B

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CCommunity
Composition of the current assets

Composition of the current assets does not affect the capital structure of a company. Current assets include cash, cash equivalents, accounts receivable, stock inventory, marketable securities, pre-paid liabilities, and other liquid assets.