Finance

The effect of financial leverage is such that an increase in a firm’s

The effect of financial leverage is such that an increase in a firm’s earnings before interest and taxes (EBIT) results in a more than proportional increase in the firm’s earnings per share (EPS), while a decrease in the firm’s EBIT results in a less than proportional decrease in EPS. Indicate whether the statement is true […]

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Date: September 19th, 2020

Which of the following statements regarding a share repurchase is NOT

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 […]

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Date: September 19th, 2020

Which of the following statements about public offerings is NOT true?

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 […]

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Date: September 19th, 2020

The strategic and tactical choices that a firm makes lead to the firm’

The strategic and tactical choices that a firm makes lead to the firm’s marketing mix which is referred to as the Four P’s of Marketing. They are: A) distinguishing between who buys the product and who consumes it. B) determining the channel through which the product or service is purchased. C) assessing the firm’s plant […]

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Date: September 19th, 2020