Question 1 Empirical evidence suggests that: managers may profitably speculate in foreign currency. wise accounting choices can impact a firm's stock price. prices may not reflect their true underlying value. managers cannot boost stock prices by changing their accounting methods. financial managers lack any ability to correctly time stock repurchases. 1 pts Question 2 The firm's capital structure refers to the: amount of dividends a firm pays. amount of cash versus receivables the firm holds. mix of current and fixed assets a firm holds. amount of capital invested in the firm. mix of debt and equity used to finance the firm's assets. 1 pts Question 20 1 pts Suppose a potential bondholder requires an indenture agreement to include a limit on dividend distributions by the bond's issuer and also a restriction on the sale of the issuer's assets. In this case, the bondholder is most likely concerned about: shareholder claims being diluted. O increasing interest rates. shareholders transferring firm assets to themselves. shareholders claiming all of the residual profits of the firm. shareholders earning a higher return on their investment in the firm than the bondholders earn on their debt. Question 10 Critics of behavioral finance use which one of these as an argument for market efficiency? Conservatism has been found to be absent in studies under actual market conditions Overreactions offset underreactions in almost every market study conducted to date Research papers supporting market efficiency tend to end up "in file drawers" Underreactions fail to exist in actual studies The overall community of financial economists firmly decided the markets are efficient 1 pts Question 9 1 pts There are three directors' seats up for election. If you own 1,000 shares of stock and you can cast 1,000 votes in each of the three elections, then the firm uses the voting procedure referred to as: cumulative voting. O straight voting.