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9) If a company accepts only projects that meet or exceed its weighted average cost of capital, that company will consistently be creating shareholder value.
9) If a company accepts only projects that meet or exceed its weighted average cost of capital, that company will consistently be creating shareholder value. A) True B) False 10) When a company's employs "leverage" in their capital structure, this means: A) the company has excess cash balances B) the only source of long-term funding that the company uses is common stock C) the company has Long-Term Debt on its Balance Sheet D) the company pays a high level of cash dividends to shareholders 7) The financial manager is concerned with A) striking a balance between holding too much and too little cash. B) maintaining high levels of profitability. C) minimizing the chance of insolvency. D) all of the above. 8) Reflect on your experiences observing your chosen stock during the eight weeks of this semester a) What did you learn from this exercise? b) How can you relate what you learned from it to larger concepts we studied in the course, for example risk and return? c) Finally, after all you have learned, how comfortable would you be investing your own personal retirement savings in equity markets and why
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