According to some research, firms with higher dividend payouts are more like to
A) generate a tax-loss carry-forward.
B) incur financial distress.
C) hedge.
D) under-report their hedging activities.
Answer: C
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Each of the three categories of investments in debt and equity securities has similar accounting for all of the following transactions except
A) initial recording of cost. B) recognition of dividend and interest income. C) recognition of realized gains or losses on sales. D) recognition of unrealized holding gains and losses.
Which of the following is NOT a challenge associated with international marketing?
A) Managers need to learn new languages and laws. B) Managers need to deal with volatile currencies. C) Managers face political and legal uncertainties. D) International markets are less safe. E) All of the above are challenges.
Sam, the owner of a toy store, dies unexpectedly at the age of 56. His lifelong business associate, Paul, is appointed the administrator of the estate. Sam had a personal debt of $8,000 which he owed to Art's Appliance Store. Paul says to Art, "If there isn't enough money in the estate, I'll personally see that the bill is paid." Which of the following is correct?
A) The oral statement is enforceable because Paul is the administrator. B) An oral statement such as this is not enforceable because it is outside the statute of frauds. C) An oral statement such as this is not enforceable because this promise is within the statute of frauds. D) The oral statement is enforceable because it is a collateral promise.
Which psychological state may lead a gambler to say that they are betting the house only due to 'intellectual curiosity' rather than due to the thrill of betting?
a. Bounded rationality. b. Cognitive dissonance. c. Susceptibility. d. Scarcity. e. Cognitive bias.