QUESTION 12 The risk coming from the firm's choice of debt/equity mix is known as: O a. Time value risk O b. Environmental risk. O c. Process risk Od. Financial risk. QUESTION 13 The term structire of interest rates refers to the relationship between: O a. Risk and time. Ob. Yield and maturity. O c. Time and tax rate. O d. Liquidity and risk. QUESTION 14 Finlay Corporation had sales this year of $3,500 million, and sales are expected to grow by 15 percent next year. Next year the company expects cost of goods sold to be 40 percent of sales, selling expenses to be $35 million per month depreciation to be $8 million per month, and interest expense to be $18 million per month. Taxes are computed at 21 percent. What is Finlay's expected net income next year? O a. S1,080.7 million O b.$1,329.6 million O c $1,859.7 million O d. $1,610.8 million. QUESTION 15 In the indirect transfer of funds, the parties: Oa. Use a financial intermediary. O b. Use an investment banker. Oc. Use the U.S. Treasury. Od. Know each other