Fin 370Final Exam

TRUE/FALSE. Write 'T' if the statement is true and 'F' if the statement is false. (2 points total)

maximization stresses the efficient use of timing and risks.

F

assets are tangible assets such as houses, equipment, and inventories.

F

sustainable rate of growth represents the rate at which a firm's sales can grow if it wants to maintain its present financial ratios and does not want to resort to a sale of new equity shares.

T

risk refers to the relative disperses in the firm's expected earnings after interest and taxes.

F

capital-budgeting projects are always new products taken to market.

F

1. The stock of cash is a type of inventory.

T

an asset is sold above depreciated value, it may be...