Which of the following statements is not true about trading on the equity?
A) It can become a disadvantage to a corporation.
B) It is another phrase for financial leverage.
C) It will increase the number of shares of stock owned.
D) It will increase the interest a corporation must pay.
C
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Inventory control authorizes fixed asset purchases with a purchase requisition
Indicate whether the statement is true or false
A product with a low perceived value is most likely to ________
A) fall within the fair value zone on a value map B) fall below the fair value line on a value map C) have a high market share D) have a low market share E) have delighted customers
If in evaluating a proposal by use of the net present value method there is an excess of the present value of future cash inflows over the amount to be invested, the rate of return on the proposal is less than the rate used in the analysis
Indicate whether the statement is true or false
Which of the following is not true with regard to opportunity costs?
A) They are the benefits forgone by selecting one alternative over another. B) They are relevant. C) They are sometimes difficult to quantify. D) They have already occurred in the past.