Which of the Following Statements Is False

question 52

Multiple Choice

Which of the following statements is false?

• A) Depreciation expenses have a positive impact on free cash flow.
• B) Free Cash Flow = (Revenues - Costs - Depreciation) × (1 - τ_c) - Capital Expenditures - ΔNWC + τ_c × Depreciation.
• C) The firm cannot use its earnings to buy goods, pay employees, fund new investments, or pay dividends to shareholders.
• D) The depreciation tax shield is the tax savings that results from the ability to deduct depreciation.

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Definitions:

Body-Kinesthetic Intelligence

One of Howard Gardner's multiple intelligences, focusing on an individual's ability to manipulate objects and use physical skills effectively.

Weaknesses

Refers to the areas or attributes that an individual or entity may need to develop or improve.

Vernon's Hierarchical

A model of intelligence proposing a hierarchical structure of cognitive abilities, with general intelligence at the top, followed by major group factors and then specific abilities.

Independent Factors

Variables in an experiment that are manipulated or changed to determine their effects on the dependent variables.