One rationale for using expected dividends in valuation is
a. Dividends are a necessary payment in order for a firm to have value.
b. Dividends are paid in cash, and cash serves as a measurable common denominator for comparing the future benefits of alternative investment opportunities.
c. Dividends are the most reliable measure of value because most companies payout dividends to shareholders.
d. Dividend payout ratios are set based on profitability.
B
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Which of the following is not a component of free cash flow?
a. Purchases of plant assets b. Net income c. Dividends d. Net cash flows from operating activities
Which of the following scholars identified four components of authenticity, including self-awareness, balanced processing, relational transparency, and internalized moral perspective?
A. Terry B. George C. Walumbwa et al. D. Luthans and Avolio
Which of the following is considered an operating activity on the statement of cash flows prepared using the direct method?
A) dividends paid to stockholders B) sale of merchandise inventory for cash C) payment to purchase equipment D) the receipt of cash from sale of equipment
A court will rule that a contract is unconscionable if one side quickly made a contract without reading the entire agreement
Indicate whether the statement is true or false