a)reflecting expectations of the market participants in the prices of the corporation's securities.
b)requiring higher returns from companies with lower risk than their competitors
c)rewarding companies with expected high returns with lower relative stock prices
d)relying on the opinion of investment bankers
2. The best indication of the operational efficiency of management is
b)earnings per share.
c)earnings before interest and taxes (EBIT).
3. The extent to which inventory financing may be used depends on
a)marketability of pledged goods.
b)price stability of goods.
c)perishability of goods.
d)all of the above
Recently Asked Questions
- A firm has a DOL (at a certain level of output) of 1.75 and a DFL of 2. The degree of total leverage for the firm is __________________________.
- Delta Ray Brands Corp. just completed their latest fiscal year. The firm had sales of $16,157,800. Depreciation and amortization was $807,000, interest expense
- The measureable value of an alternative use of resources is referred to as: (a) An opportunity cost (b) An imputed cost (c) A different cost (d) A sunk cost