Which of the following statements best describes a bootstrap acquisition?
A. The shareholder sells his stock in exchange for cash and debt.
B. The shareholder exchanges his stock for stock of a different corporation.
C. The shareholder sells part of his or her stock to a purchaser and then the corporation redeems the original shareholder's remaining stock.
D. none of the above
Answer: C
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Which of the following is an example of an agency problem?
A) managers not working as diligently if they are not the sole owner of the business B) the board of directors firing an incompetent manager C) the manager owning a great deal of stock in the company D) a corporate raider attempting to purchase the company
________ means searching for and sorting through information about the environment.
A) Environmental uncertainty B) Competitive intelligence C) Domain selection D) Environmental scanning E) Strategic maneuvering
Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. A credit scoring system might assign points according to your annual income and [gender | age].
Curtis Corporation's noncallable bonds currently sell for $1,165 . They have a 15-year maturity, an annual coupon of $95, and a par value of $1,000 . What is their yield to maturity?
a. 6.20% b. 6.53% c. 6.87% d. 7.24% e. 7.62%