The Bretton Woods fixed exchange rate system was dissolved in 197173 because 1) some countries preferred to hold gold instead of dollars 2) high interest rates raised the cost of holding gold 3) some countries preferred to hold dollars instead of gold 4) the U.S. printed too many dollars to stabilize interest rates Which of the following make major differences between international and domesti financial management? 1) Political risk. 2) Foreign exchange risk 3) Corporate governance 4) All risks mentioned here Which of the following statements is not true? 1) The fraction of debt financing is a measure of the financial leverage/gearing 2) Cost of equity is higher than the cost of debt 3) Capital structure refers to the proportion of long-term debt and equity capital that are valued according to their historical or book value 4) Cost of capital for a firm with no debt is simply the cost of equity Theory of "frame dependence" suggests that 1) most individuals become risk-seeking when seeing profit potential 2) most individuals become risk-lovers when seeing profit potential 3) most individuals become risk-averse when seeing profit potential 4) most individuals become risk-neutral when facing losses