1. The debt and equity mix is the example of financial ratio and points out the extent to which borrowed funds are utilized to finance assets. Write down the major factors which go into finding right mix of equity and debt? IF debt is always cheaper than equity, why have equity?
2. You are the owner of start -up company which is small, but growing fast. TO support your growth, you require to buy some long-term fixed assets. You are thinking whether to purchase or lease. Why might financial lease be especially attractive for condition.