Which of the Following Statements Is FALSE

question 29

Multiple Choice

Which of the following statements is FALSE?

• A)We must discount the cash flows from stock based on the equity cost of capital for the stock.
• B)The divided yield is the percentage return the investor expects to earn from the dividend paid by the stock.
• C)The firm might pay out cash to its shareholders in the form of a dividend.
• D)The dividend yield is the expected annual dividend of a stock,divided by its expected future sale price.

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Definitions:

Fortune 500 Corporations

An annual list compiled and published by Fortune magazine that ranks 500 of the largest United States corporations by total revenue for their respective fiscal years.

Female Employees

Women who are employed by an organization, company, or business, and are part of the workforce.

Americans with Disabilities Act

The Americans with Disabilities Act (ADA) is a civil rights law that prohibits discrimination against individuals with disabilities in all areas of public life, including jobs, schools, transportation, and all public and private places that are open to the general public.

Licensed Pilot

A person who has been officially authorized to operate an aircraft following the fulfillment of specific criteria.