Capital Structure Theories and Leverage

Summary :

The lesson tackles theories of capital structure—debt vs. equity, Modigliani-Miller propositions, arbitrage process, Net Income and Net Operating Income approaches, and traditional theory. It explains leverage ratios (DSCR, ICR, Debt-Capital, Debt-Equity) with real-world finance applications, offering practical insights for structuring business financing and evaluating company performance.


Course: MBA
Subject: Finance
Capital Structure Theories and Leverage