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Many bonds have a call feature, which permits the firm to retire the bonds prior to maturity.​

A stock dividend

Many bonds have a call feature, which permits the firm to retire the bonds prior to maturity.​

The term structure of interest rates indicates the

Which of the following are true concerning dividend reinvestment plans? ​1. taxes are deferred 2. they offer stockholders a convenient means to save 3. the firm may pay the brokerage and other fees associated with the plans

Which of the following are true concerning dividend reinvestment plans? ​1. taxes are deferred 2. they offer stockholders a convenient means to save 3. the firm may pay the brokerage and other fees associated with the plans

The marginal cost of capital rises​ 1. because the cost of retained earnings exceeds the cost of new shares2. because the cost of new shares exceeds the cost of retained earnings3. if the firm issues secured debt instead of debentures4. if the firm issues debentures instead of secured debt

The internal rate of return of an investment is independent of the firm’s cost of capital.​

The marginal cost of capital rises​ 1. because the cost of retained earnings exceeds the cost of new shares2. because the cost of new shares exceeds the cost of retained earnings3. if the firm issues secured debt instead of debentures4. if the firm issues debentures instead of secured debt

The internal rate of return of an investment is independent of the firm’s cost of capital.​