1 Leverage involves using Debt O Equity O Sales Costs to invest. QUESTION 2 Investors are assumed to be .. Risk adverse Risk loving Risk avoiders Risk takers QUESTION 3 The goal of a firm is to Maximize profits Masimize revenue Maximize CEO wealth Maximize shareholder wealth QUESTION 4 "To find the value of an asset in finance, we find the _." Present value of future cash flows Future value of future cash flows Future value of present cash flows Present value of present cash flows " QUESTION 5 A firms two sources of capital include Debt and cash Equity and cash Debt and equity Assets and cash