Which of the Following Statements Is False

question 76

Multiple Choice

Which of the following statements is false?

• A) To determine the true tax benefit of leverage, we need to evaluate the combined effect of both corporate and personal taxes.
• B) A personal tax disadvantage for debt causes the WACC to decline more slowly with leverage than it otherwise would.
• C) Personal taxes have an indirect effect on the firm's weighted average cost of capital.
• D) In the United States and many other countries, capital gains from equity have historically been taxed more heavily than interest income.

Learn the principles of writing effective recommendation letters and the potential legal implications.

Discover strategies for managing public relations through direct-to-consumer news releases in the digital age.

Understand the importance of the approach (direct or indirect) when delivering bad news based on the context and audience.

Identify and apply strategies to minimize damage to business relationships while communicating negative messages.

---

Definitions:

Homosexuality

The orientation of being sexually attracted to people of one's own gender.

Gays

Individuals who are romantically or sexually attracted to people of the same sex.

Sexual Drives

The biological and psychological forces that stimulate desire for sexual activity.

Sexual Activity

Any action that involves sexual intimacy between people.