True or False:
1. The only way for a firm to obtain resources to invest in capital is via borrowing in financial markets.
2. There is no difference in meaning between the terms saving and savings.
3. The amount of saving and investment are the foundation of economic growth.
4. New capital and new technology are completely separate factors of production.
5. In terms of economic growth, increases in the capital stock come at the expense of workers.
6. Owners of preferred stock are the residual claimants of the resources of a corporation.
7. Both bondholders and stockholders receive increased payments as a company prospers.
8. Preferred stockholders have a higher priority than bondholders and common stockholders when debts of the firm are settled.
9. Corporations can acquire additional financial resources by issuing new shares of stock or reinvesting profits.
10. Firms are more likely to issue new shares of stock and increase expenditures on new capital equipment in periods of optimism.