Which of the following statements is true?
A) A graph of the relationship between EPS and EBIT is steeper when the firm is leveraged.
B) At the indifference point on an EPS-EBIT graph, two financing alternatives provide the same EBIT.
C) Firms are more likely to use greater levels of debt when predicted EBIT is low.
D) In EPS-EBIT analysis, EPS is considered a poor proxy for firm value.
E) None of the above.
A
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Backorders and stockouts are most likely to cause expenses for:
A) advertising costs. B) lost productivity. C) cost of capital. D) lost sales.
Which of the following statements is true about biometric identification?
A) It involves the use of a personal identification number (PIN) for authentication. B) It provides weak authentication. C) It is a relatively inexpensive mode of authentication. D) It often faces resistance from users for its invasive nature.