34) Nominal rates are equal to real rates of interest when inflation is low (1 pts) True False 31) Categories of ratios include profitability measures, leverage measures, liquidity measures, performance measures and performance measures which each give different insight into the financial health of the corporation. O True False 32) When financial managers calculate market capitalization and book value they should not expect there to be a significant different between the two if the company has been growing rapidly. True False 14) If a firm is profitable it can give dividends to shareholders and/or retain profits. Why would an organization retain profits? They would not; all profits go directly to shareholders To give bonuses to high-performing executives To fund projects that add value to the organization To invest in junk bonds None of the above