Which of the following is the least expensive capital for the firm?

		Bond capital
		Preferred Stock capital
		Common Stock capital

What will happen to your yield when you pay more for an investment, holding all else constant?

		The yield will go down
		The yield will go up
		The yield could go up or down
		The yield should not be affected

Which of the following is a true statement?

		The cost of bond capital for the firm is not tax deductible
		The cost of common stock capital for the firm is tax deductible
		The cost of preferred stock capital for the firm is tax deductible
		The cost of bond capital for the firm is tax deductible

Which of the following is a true statement?

		IRR is the best cash flow evaluation method and Payback is the worst method
		NPV is the best cash flow evaluation method and IRR is the worst method
		NPV is the best cash flow evaluation method and Payback is the worst method
		PI is the best cash flow evaluation method and IRR is the worst method

The preferred stock dividend

		Increases as the growth rate of the firm increases
		Is fixed
		Could increase or decrease depending on the growth of the firm
		Could increase or decrease depending on market interest rates