In order to maximize firm value, management should invest in new assets when cash flows from the assets are discounted at the firm's ________ and result in a positive NPV
A) cost of capital
B) cost of debt used to finance the project
C) rate of return on equity
D) internal rate of return
Answer: A
Business
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Merely telling a person about a property or giving a buyer a list of homes would not qualify an agent as a:
A. producing cause B. sole agent in the transaction C. procuring cause D. dual agent in the transaction
Business
The U.S. Justice Department objected to a recent patent license agreement between S.C. Johnson & Sons and Bayer AG. The antitrust unit at the Justice department objected to:
A) the duration of the license. B) the amount of royalties Johnson agreed to pay. C) Bayer's attempts to circumvent FDA policies. D) the exclusive nature of the license agreement. E) the hostile arrangement between Bayer and Johnson.
Business