Which of the following modern methods of financing a corporation was not available to corporations four hundred years ago?
A) selling stock
B) selling bonds
C) reinvestment.
D) All of these methods were used then as well as now.
Answer: D
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Discounting refers directly to
a. finding the present value of a future sum of money. b. finding the future value of a present sum of money. c. calculations that ignore the phenomenon of compounding for the sake of ease and simplicity. d. decreases in interest rates over time, while compounding refers to increases in interest rates over time.
In late 2008, Wal-Mart agreed to settle 63 of the over 70 lawsuits filed against them across the United States, paying out ____________ million.
A. less than $125 B. between $125 and $250 C. between $352 and $640 D. over $800
Which of the following statements describes the difference between real and nominal GDP?
A. Real GDP includes only goods; nominal GDP includes goods and services. B. Real GDP is measured using constant base-year prices; nominal GDP is measured using current prices. C. Real GDP is equal to nominal GDP less the depreciation of the capital stock. D. Real GDP is equal to nominal GDP multiplied by the CPI.
Which of the following goods is likely to have the most inelastic demand?
A. restaurant meals B. air travel C. movies D. cigarettes