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5.  "Capital structure decision is essentially optimisation of risk / return relationship "  comment.

Ans.  Capital structure of the business offers the profitobility and financial risk. A best capital structure is the one which results in maximising the value of equity shareholder or which brings rise in the price of equity shares.

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Class XII- Business Studies- Textbook Solutions- NCERT Solutions- Long Answer questions- Ques 2

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