Which of the following is a tool for forecasting a company's long financing needs? a. cash budget b. pro forma income statement c. the operating budget d. pro forma balance sheet The weighted average cost of capital is the average before-tax cost of funds available to finance investment by the firm. a. True b. False Fred Flintstone has an opportunity cost of 7%. Based solely on this interest rate which of the following is the better choice Mr. Flintstone? a. Receiving $50 today b. Receiving $54 one year from today Maxwell Corporation's Board of Directors recently declared a $1 quarterly dividend The Board set the payment date as Friday. January 6, 2017 and the record date as Wednesday, December 21, 2016. What is the last day you can buy the stock and still receive the dividend? a. Friday, December 16 b. Monday, December 19 c. Tuesday, December 20 d. Tuesday, January 3 Compared to companies following an aggressive working capital policy, a company following a conservative working capital policy will have a. greater flexibility b. lower costs c. lower profitability d. more risk An large decrease in a company's cash relative to other assets will result in an decrease in the company's profitability. a. True b. False