What is the goal of selecting the ideal capital structure for a company?

When is the optimal capital structure achieved for a company?

Assuming no taxes, what does it mean when the break-even point between the levered and unlevered capital structures is reached?

When a company undergoes bankruptcy, which of the following claims will typically have the highest priority when distributing assets?

Kelso Electric is deciding between a leveraged and unleveraged capital structure. The fully-equity option involves 40,000 shares, while the debt-equity option involves 25,000 shares and $280,000 of debt with a 7% interest rate. What is the break-even point of earnings before interest and taxes between these two options, with taxes ignored?