The Philosophy of René Descartes

question 63

Multiple Choice

The philosophy of René Descartes

• A)stressed a separation of mind and matter.
• B)stressed a holistic universe of mind and matter devoid of a creator-God.
• C)saw the material world as a living thing containing the human essence.
• D)would not have a wide influence upon Western thought until the nineteenth century.
• E)was condemned by the government of the Dutch Republic.

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Definitions:

MM Model

Refers to the Modigliani-Miller theorem, a foundational concept in corporate finance that states that under certain market conditions, the value of a firm is unaffected by how it is financed.

Arbitrage

The simultaneous buying and selling of the same commodity or security in two different markets at different prices, thus pocketing a risk-free return.

Capital Structure

The mix of a company's long-term debt, specific short-term debt, common equity, and preferred equity, which is used to finance its overall operations and growth.

Common Share Equity

The amount of money that would be returned to shareholders if a company's assets were liquidated and all its debts repaid, representing ownership in a corporation.