Which of the following is NOT a conclusion drawn from M&M's Propositions 1 and 2?
A) Firm value is determined by the left hand of the balance sheet, the firm's assets, and the cash flow generated by them.
B) A firm can change its market value by splitting its cash flows into different streams.
C) Shareholder's required return rises with leverage.
D) The WACC does not change as capital structure change.
E) The WACC is determined by the riskiness of the company's business (assets).
B
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The interactionist view of conflict proposes that all conflicts are good
Indicate whether the statement is true or false
Which of the following has no effect on the computation of earnings per share for the current period?
A. The amount of cash dividends declared or paid to preferred stockholders. B. The amount of cash dividends declared or paid to common stockholders. C. Net income. D. The number of shares of common stock issued.