Capella MBA6016 Unit 5 Discussion 1 & 2 latest 2016 December

dq 1

Capital Structure

Resources

Activity Context

This discussion helps you develop the skills to master the following course competencies:

• Apply the theories, models, and practices of finance to the financial management of the firm.
• Integrate financial analyses into general business management planning and decision making.

To review how all your activities help you achieve the competencies in the course, and ultimately, your overall program outcomes, revisit the MBA6016 Course Alignment Map.

Activity Instruction

Select two of the many capital structure concepts such as Modigliani and Miller, Pecking Order Theory, leverage, and so on, and explain what each is as well as how it differs from the other concept you selected. Then, step back and discuss why it is important for managers or leaders to optimize their capital structure.

Post a substantive initial post by Thursday. Support your post as appropriate with the theories presented in this week's required reading.

Response Guidelines

Respond to at least two peers by the Sunday due date. Your replies should be substantive and could involve one or more of the following:

• Debate the topic.
• Ask a probing question.
• Share an insight you gained from your peer's post.
• Make a suggestion.
• Share a personal experience related to the topic.
• Expand on your peer's post.

This discussion helps you develop the skills to master the following course competencies:

• Evaluate alternative methods of financing a firm in diverse economic environments.

To review how all your activities help you achieve the competencies in the course, and ultimately, your overall program outcomes, revisit the MBA6016 Course Alignment Map.

Activity Instruction

Consider dividend policy, stock repurchases, and stock splits. Discuss how investors may react differently if their company issues dividends or announces a stock split or stock repurchase. Feel free to include examples to illustrate your point.

Post a substantive initial post by Thursday. Support your post as appropriate with the theories presented in this week's required reading.

Response Guidelines

Respond to at least two peers by the Sunday due date. Your replies should be substantive and could involve one or more of the following:

• Debate the topic.
• Ask a probing question.
• Share an insight you gained from your peer's post.
• Make a suggestion.
• Share a personal experience related to the topic.
• Expand on your peer's post.