Which of the following is correct? Question 17: (1 Point) Interest expense increases the taxes owed by a firm. Dividends will increase the profit earned by a firm. Depreciation decreases the net income of a firm. Net income is equivalent to the operating cash flow of a firm. Earnings before taxes is either paid out as dividends to shareholders or interest to bondholders. Which one of the following statements is correct? Question 18: (1 Point) Financial markets can be classified as either money markets or investment markets. Secondary markets provide the means for investment dealers to write securities. All Canadian firms are listed on an exchange in Canada. The sale of securities by investors are made in primary markets. Financial markets bring together the buyers and sellers of debt and equity securities. The control of a firm ultimately rests with because Question 19: (1 Point) Shareholders; they elect the board of directors, who then hire and fire management. Executives; they oversee a firm's strategic planning. Government agencies and regulatory bodies; they work in unison with a firm's board of directors. Bondholders; they elect the management who lead the company. Underwriters, they work in unison with a firm's executives