16. Depreciation is a "source" of funds in that sense that it is a tax-deductible cash expense (b) increases taxable income (c) has no impact on a firm's tax liability (d) is a tax-deductible noncash expense 17. Bonds trade at a discount when the required rate of return is: less than the coupon rate (b) zero (c) equal to the coupon rate (d) greater than the coupon rate 18. Retained earnings represents: (a) that portion of a firm's assets that were financed from past earnings (b) a deferred liability owed to preferred stockholders cash available to pay dividends (d) pretax income minus dividends 19. Net income and earnings available for common stockholders are equal whenever: (a) there is no interest expense (b) no preferred stock dividends must be paid (c) no tax obligations exist (d) cost of goods sold equals zero 20. Which of the following spreadsheet commands is used to solve for the ending value of an ordinary annuity?: (b)-RATE (c)-SUM (d)-PV