Many Projects Fail Because of Constant,unmanaged Demand for Changes,even Before

question 113

Multiple Choice

Many projects fail because of constant,unmanaged demand for changes,even before the system is implemented.This failure to constrain change is often referred to as ____.

• A) concatenation
• B) preapproval
• C) feature creep
• D) redevelopment

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Definitions:

Financial Leverage

Rephrased: Utilizing debt to finance additional assets, with the aim of increasing returns to equity holders, while also increasing financial risk.

Interest Tax Shield

The decrease in what one owes in income taxes by removing the cost of debt interest from the taxable income figure.

Capital Structure Puzzle

The term refers to the challenge and debate over the optimal composition of a company's debt and equity financing to maximize its value.

Optimal Capital Structure

The best mix of debt, preferred stock, and common equity that maximizes a company’s stock price.