Which of the following is true of par value of a common stock?
A) It is determined on the basis of the stock's market value.
B) It is an arbitrary value established for legal purposes in a firm's corporate charter.
C) It indicates the market value at which the stock was originally sold.
D) It allows stockholders to purchase additional shares at a price below the market price.
B
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In regards to network security, ________ means preventing unauthorized users from gaining information about the network structure, data flowing across the network, network protocols used, or packet header values
A) confidentiality B) integrity C) availability D) authentication
Which of the following statements is FALSE?
A) Lease payments are a fixed obligation of the firm. B) The risk of the lease payments is no greater than the risk of secured debt, so it is reasonable to discount the lease payments at the firm's secured borrowing rate. C) If a firm purchases a piece of equipment, the expense is a capital expenditure. Therefore, the purchase price can be depreciated over time, generating a depreciation tax shield. D) If the equipment is leased and the lease is a non-tax lease, there is no capital expenditure, but the lease payments are an operating expense.