The cost of equity increases with increasing financial leverage in order to compensate the stockholders for the higher degree of financial risk
Indicate whether the statement is true or false
TRUE
You might also like to view...
Answer the following statement(s) true (T) or false (F)
79. Companies prefer expatriates without previous international experience in order to help their employees learn more about the company. 80. You are an American citizen working in America for a German company. You are an example of a third-country national. 81. Onshoring is the process of shuttering operations in other countries and bringing work back to the home country to increase employment there. 82. Preparing employees for expatriate assignments will primarily be done through cross-cultural training. 83. Culture shock does not affect the success of an international assignment.
Gaston bought a toaster made by Robinson Electric Co One day while using
the toaster, it exploded causing him to sustain serious injury. The accident occurred either as a result of faulty parts supplied by the parts manufacturer, negligent assembly by the toaster manufacturer or negligent handling by the local retailer. Gaston sued Robinson Electric, the parts manufacturer and the local retailer for his injuries. Which of the following statements is TRUE? A) There will be a presumption that the manufacturer is responsible for the injuries caused. B) Gaston has to prove specifically which of the three companies was responsible for the defect causing his injuries. C) If each of the three defendant are unable to prove which one of them was responsible for the accident, none of them can be held liable. D) If each of the three defendants are unable to prove which one of them was responsible for the accident, they may all be held equally liable. E) Gaston can sue only the manufacturer of the toaster.
The cash flow on total assets ratio is calculated by:
A. Dividing average total assets by total cash flows. B. Dividing total cash flows by average total assets. C. Dividing average total assets by cash flows from investing activities. D. Total cash flows divided by average total assets times 365. E. Dividing cash flows from operations by average total assets.
Steel Production Industries, Inc, employs five hundred workers. For the Occupational Safety and Health Administration, Steel Production must do all of the following except? A) keep occupational injury and illness records for each employee
B) report any work-related diseases. C) report any work-related injuries.? D) pay employees higher wages for working in more dangerous areas.