A Financial Manager Makes a Choice of the Amount and Source

question 59

Multiple Choice

A financial manager makes a choice of the amount and source of capital based on how the choice will impact

• A) debt-equity ratio.
• B) firm value.
• C) earnings per share.
• D) debt value.

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Definitions:

Eminent Domain

The right of a government to expropriate private property for public use, with compensation.

Fair Market Value

An estimate of the market value of a property, based on what a knowledgeable, willing, and unpressured buyer would likely pay to a knowledgeable, willing, and unpressured seller in the market.

Androcentric

Centered or focused on men, often to the exclusion or marginalization of women and their perspectives.

Objectified

Treated as an object or commodity, often reducing a person to their physical attributes or utility rather than recognizing their humanity and individuality.