16) Which of the following is more likely to be correct i market value of equity is less than book vale of equity? A) Investors antic ipate low carning potential B) The company is certain to go bankrupt. C) Investors anticipate eccent carning potential D) Assets have been fully deprociated 17) Which one fthe follewing espese categories is subtracted from Sotalreenues to help arrive at a frm's EBIT A) Interest expense B) Cash dividends C) Depreciation expense D) Tax liablity 18) Cakulate EBIT fer a firm with 53 million total revenues, $15 million Cest ef Goods Seld 300,000 depreciation expense, $100,000 interest expense and paying $200,000 in din idends to sharehelders A)S1,800.000 B) $1,200,000 C)51,100.000 D) $900000 19) Suppese Dee's just acquired the assets of Fle's Flowers The boek value ef Fle's Flowers assets was 568,000 but Dee's paid atotal of $75,000. The additional $7.000 paid by Dee's will be recerded en Dee's balance sheet as: A) other cument assets B) accounts payable C) property, plant, and equipenen D) goodwil 20) Which ones of the following statemens are FALSE L Bled on generally accepted accounting principles, assets are ecorded onthe balance shed current mar ket value hcr IL All items in the coemmon-size balance sheet are expressed as a percenage ofhook oquity ni. Net working Capitalthe difkrence between Current Assets atd Cunaldiltes A and l1 only B. and Il only C. l and III only D. 1.11, and