A proposed structural model involves four constructs, two of which are exogenous. X1 and

X2 together cause Y1, which in turn causes Y2. This model is recursive.

Indicate whether the statement is true or false

TRUE

Business

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________ is a person's overall evaluation of a concept, involving feelings of liking or favorability

A) Attitude B) Lifestyle C) Objectivity D) Self-actualization E) Need recognition

Business

The dollar cost of debt for John Galt Industries is 8.0%. The firm faces a tax rate of 40% on all income, no matter where it is earned. Galt needs to know its Yen cost of debt. The risk-free interest rates on dollars and yen are r% = 6% and r¥ = 2%, respectively. Galt is willing to assume that capital markets are internationally integrated and that its free cash flows are uncorrelated with the

yen-dollar spot rate. Galt's after-tax cost of debt in yen is closest to: A) 0.9% B) 2.0% C) 3.9% D) 4.8%

Business