Which of the Following Statements Is FALSE

question 54

Multiple Choice

Which of the following statements is FALSE?

• A)The money taken in by the firm as a result of the share issue exactly offsets the dilution of the shares.
• B)Most analysts prefer to use performance measures and valuation multiples that are based on the firm's earnings before interest has been deducted.
• C)Because the firm's earnings per share and price-earnings ratio are affected by leverage,we can always reliably compare these measures across firms with different capital structures.
• D)In general,as long as the firm sells the new shares of equity at a fair price,there will be no gain or loss to shareholders associated with the equity issue itself.

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Definitions:

Epigenetics

The study of how behaviors and environment can cause changes that affect the way genes work, without altering the DNA sequence itself.

Genotype

The genetic makeup of an organism, consisting of all its genes and their variations.

Gene Expression

The process by which information from a gene is used in the synthesis of a functional gene product, often a protein, impacting the cell's structure and function.

Leukemia

is a type of cancer that affects blood-forming tissues, including the bone marrow and the lymphatic system, leading to an overproduction of abnormal white blood cells.