Answer the following statements true (T) or false (F)
1. One advantage of leasing is that in many cases, the return to the lessor is quite low so the firm in need of an asset might be better off borrowing to purchase it.
2. One disadvantage of leasing is that in many cases, the return to the lessor is quite high so the firm in need of an asset might be better off borrowing to purchase it.
3. A conversion feature is an option that is included as part of a common stock issue that allows its holder to change the stock into a stated number of shares of preferred stock.
4. The conversion ratio is the ratio at which a convertible security can be exchanged for a nonconvertible security.
5. Diluted earnings per share (EPS) are found by adjusting basic EPS for the impact of converting all convertibles and exercising all warrants and options that would have diluting effects on a firm's earnings.
1. FALSE
2. TRUE
3. FALSE
4. FALSE
5. TRUE
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Answer the following statement true (T) or false (F)
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What will be an ideal response?
Strategic financial plans are planned long-term financial actions and the anticipated financial impact of those actions
Indicate whether the statement is true or false
Discrimination based on ____ in the extension of credit is prohibited under the Equal Credit Opportunity Act
A) sex or marital status B) religion or national origin C) race or age D) All of these.