Forman, Inc earned $600,000 profit during 2015 . On which financial statement(s) will you find the dollar amount of the profit earned by the company?
a. Balance sheet and income statement
b. Income statement only
c. Statement of retained earnings only
d. Income statement and statement of retained earnings
d
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Which of the following is not one of the key elements of effective leader vision?
a. It is long-term and bold. b. It is change-oriented. c. It energizes. d. It is intellectually stimulating.
Security risks include ______.
A. theft of data B. late deliveries C. poor product quality D. stock-outs
Your firm is currently 100% equity financed. The CFO is considering a recapitalization plan under which the firm would issue long-term debt with an after-tax yield of 9% and use the proceeds to repurchase some of its common stock. The recapitalization would not change the company's total investor-supplied capital, the size of the firm (i.e., total assets), and it would not affect the firm's return on investors' capital (ROIC), which is 15%. The CFO believes that this recapitalization would reduce the firm's WACC and increase its stock price. Which of the following would be likely to occur if the company goes ahead with the recapitalization plan?
A. The company's net income would increase. B. The company's earnings per share would decline. C. The company's cost of equity would increase. D. The company's ROA would increase. E. The company's ROE would decline.
The law does not change; it is based on unchanging and universal truths
Indicate whether the statement is true or false