Home  Journals  Finance and Credit  18(594) - 2014 May

Optimization of capital structure using the method of average priceminimization

Available online: 11 May 2014

Subject Heading: Financial management

JEL Classification: 

Pages: 10-14

The article considers the concept "optimum structure of capital organization", the possibility of using the method of optimizing the capital structure by minimizing the weighted average price in the Russian context, taking into account agency costs (management costs) based on marginal and net marginal cost of capital.

Keywords: capital structure, optimization criterion of capital structure, average price of capital, limit price of capital, pure limit price of capital, agency expenses, management expenses

References:

1. Korporativnye finansovye resheniia. Empiricheskii analiz rossiiskikh kompanii (korporativnye finansovye resheniia na razvivaiushchikhsia rynkakh kapitala) [Corporate financial decisions. An Empirical analysis of the Russian companies (corporate financial decisions in capital emerging markets)]. Moscow, INFRA-M Publ., 2013, 281 p.
2. Sysoeva E.F. Struktura kapitala i finansovaia ustoichivost' organizatsii: prakticheskii aspect [Structure of capital and financial stability of organization: practical aspect]. Daidzhest-Finansy – Digest-Finance, 2007, no. 7, pp. 11–16.

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ISSN 2311-8709 (Online)
ISSN 2071-4688 (Print)

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