________ occurs when a firm buys back some of its own common shares. A) A leveraged buyout B) An IPO C) A share repurchase D) Secondary offering ANSWER C
Date: September 19th, 2020
A public equity offering A) makes the securities being issued available to “retail” investors. B) makes the securities being issued available to large institutional investors. C) is usually more expensive than a private placement. D) All of the above are true. ANSWER D
Date: September 19th, 2020
Whenever the percentage change in earnings per share (EPS) resulting from a given percentage change in sales is greater than the percentage change in sales, financial leverage exists. Indicate whether the statement is true or false ANSWER FALSE
Date: September 19th, 2020
Which of the following statements regarding a share repurchase is NOT true? A) Share repurchases occur most commonly as open market repurchases. B) The firm typically buys its shares just like any investor would purchase stocks listed on a stock exchange. C) A firm often announces its intention to repurchase a certain number of its […]
Date: September 19th, 2020
Value proposition refers to a statement that describes the unique features of the firm’s products and services. Indicate whether the statement is true or false ANSWER FALSE
Date: September 19th, 2020
Commercial paper issues have maturities ranging from ________. A) six months to one year B) one year to three years C) three days to 270 days D) 0 to 30 days ANSWER C
Date: September 19th, 2020
Which of the following statements about public offerings is NOT true? A) A public offering is the most common type (vs private) for equity securities. B) Public offerings are usually more expensive than a private placement. C) The issuing process typically completes within one month. D) All of the above are true. ANSWER […]
Date: September 19th, 2020
All else equal, an individual investor would prefer ________ even if rates on both are equal, since ________ can be deferred. A) dividends to capital gains; dividends B) dividends to capital gains; capital gains C) capital gains to dividends; capital gains D) Investors are indifferent to capital gains vs dividends. ANSWER C
Date: September 19th, 2020
Commercial paper is issued in multiples of ________. A) $1,000 or more B) $10,000 or more C) $100,000 or more D) $1,000,000 or more ANSWER C
Date: September 19th, 2020
The empirical evidence from various and historical U.S. financial asset classes reported by the author DOES NOT support the financial axiom that to achieve greater return an investor must take greater risk. Indicate whether the statement is true or false ANSWER FALSE
Date: September 19th, 2020
