Multiple Choice
NPV calculation need to include
A) only sunk costs of a project.
B) only variable costs of a project.
C) all costs related to a project.
D) a risk-free rate as the discount rate.
Correct Answer:
Verified
Correct Answer:
Verified
Q14: Capital can be treated as a free
Q15: The Capital Asset Pricing Model determines the
Q16: Dividends<br>A)raise after tax net income.<br>B)are not tax
Q17: Common stockholders<br>A)must be paid a dividend.<br>B)interest.<br>C)may or
Q18: The cost of capital from different sources
Q20: Bonds generally<br>A)are insured.<br>B)have more risk than stock.<br>C)have
Q21: If the discount rate increases<br>A)NPV does not
Q22: Stock is<br>A)bought in a secondary market and
Q23: Beta measure overall risk in the stock
Q24: The supply of stock<br>A)comes from new issues.<br>B)comes