One of the primary reasons for investing in debt securities includes:
A. Earning interest revenue.
B. Acquiring significant influence.
C. Deducting interest payments for tax purposes.
D. Receiving dividend payments.
Answer: A
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Which one of the following statements is TRUE?
A. An example of asset switching is when a company borrows for a new manufacturing facility but then uses it to repurchase its own stock. B. An example of an agency cost is when an attorney hires an expert witness for a trial. C. The commission required by the Federal Housing Agency for a small business loan is an example of an agency cost. D. An example of an agency cost is the salary of the agent hired to work for the principal. E. Creditors have a claim on a firm's earning stream through the dividend payments they receive.
As decision implementation typically involves people, the test of the soundness of a decision is the behavior of the people involved relative to the decision.
Answer the following statement true (T) or false (F)
The Family Medical and Leave Act provides twelve weeks of paid leave in certain circumstances
Indicate whether the statement is true or false
Sally prepared financial statements for MegaCorp knowing that the company would be using her statements when applying for a loan at Big Bank. It is discovered she was negligent in preparing the statements, and Big Bank sues her. Sally is liable under the
A. Ultramares doctrine. B. Foreseeable doctrine. C. Restatement doctrine. D. All of these are correct.