Which of the following statements is FALSE?
A) The firm deducts a fraction of the investments in plant, property, and equipment each year as depreciation.
B) If securities are fairly priced, the net present value of a fixed set of cash flows is independent of how those cash flows are financed.
C) Sunk cost fallacy is a term used to describe the tendency of people to ignore sunk costs in capital budgeting analysis.
D) A good rule to remember is that if our decision does not affect a cash flow then the cash flow should not affect our decision.
C
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The common elements in a condominium are owned by
A) all the members of the HOA as joint tenants B) all former and current unit owners as tenants in common C) the HOA and current shareholders in severalty D) all current owners as tenants in common
Which of the following is typically the most fundamental influence on an individual's behavior?
A) culture B) subculture C) social class D) purchase environment E) digital environment