Flotation Costs Include All of the Following, Except

question 109

Multiple Choice

Flotation costs include all of the following, except:

• A) cost of printing shares
• B) legal and accounting costs
• C) investment banker fees
• D) management expense

Differentiate between various capital budgeting approaches and understand their conceptual desirability.

Understand different types of power and their impact on influencing others.

Identify and differentiate between various influence tactics.

Recognize the outcomes of influence tactics and their implications.

---

Definitions:

Chunks

Units of information grouped together to be processed or remembered as a single unit, facilitating easier recall.

Magic Number

Refers to the short-term memory capacity, traditionally considered to be 7±2 items, as postulated by psychologist George A. Miller.

Short-term Memory

The ability to keep a limited quantity of data actively accessible in one's consciousness for a brief duration.

Miller

George A. Miller was an American psychologist who made significant contributions to the cognitive psychology field, notably proposing that the human mind can hold 7 ± 2 pieces of information in short-term memory.