1. Financial Leverage increases expected ROE and ROI as well as their variability. True or False

2. Discount cash flow valuation views a business as if it were a large capital expenditure opportunity. True or False

3. Net Present value is the present value of cash inflows less the future value of cash outflows. True or False

4. The Higgins 5-Factor Model identifies five ways in which company financing can affect operating income. True or False