1. Which of the following parties consistently review the financial statements of a company (check all that apply)

A. Shareholders

B. Auditors

C. Board of Directors

D. Financial Analysts

E. Rating Agencies

True or False?

6. When cost of debt is very cheap you should borrow as much capital as you can.

7. The "health" of the Balance sheet is what credit markets are focusing on.

8. Revenues and Profits are reflected on the Income Statement and thus they are of interest to Equity Analysts.

9. Adding leverage (debt) on the balance sheet does not impact your cost of funding.

10. Bank Deposits are the cheapest assets a bank can hold.