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NEW QUESTION: 1
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A. True
B. False
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NEW QUESTION: 2



A. public int findMax (int [ ] numbers)
B. static int [ ] findMax (int max)
C. final int findMax (int [ ] )
D. static int findMax (int [ ] numbers)
Answer: D

NEW QUESTION: 3
Which of the following statements is most correct?
A. All of these statements are false.
B. The component cost of preferred stock is expressed as k(ps)(1 - T), because preferred stock dividends are treated as fixed charges, similar to the treatment of debt interest.
C. The reason that a cost of capital is assigned to retained earnings is because these funds are already earning a return in the business, the reason does not involve the opportunity cost principle.
D. Suppose a firm is losing money and thus, is not paying taxes, and that this situation is expected to persist for a few years whether or not the firm uses debt financing. Thus the firm's after-tax cost of debt will equal its before-tax cost of debt.
E. The bond-yield-plus-risk-premium approach to estimating a firm's cost of common equity involves adding a subjectively determined risk-premium to the market risk-free bond rate.
Answer: D
Explanation:
Explanation/Reference:
Explanation:
Obviously if the firm is paying no taxes, its after-tax cost of debt will equal its before-tax cost of debt.


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