Which of the Following Is Not One of the Simplifying

question 42

Multiple Choice

Which of the following is not one of the simplifying assumptions made for the three main methods of capital budgeting?

• A) The firm pays out all earnings as dividends.
• B) The project has average risk.
• C) Corporate taxes are the only market imperfection.
• D) The firm's debt-equity ratio is constant.

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Definitions:

Bilaterians

Organisms that have bilateral symmetry during some stage of their development, including humans, most animals, and insects.

Cnidarians

A phylum of aquatic invertebrate animals that includes jellyfish, corals, sea anemones, and hydra, characterized by their cnidocytes.

Predatory Attacks

The acts wherein predators attempt to capture, kill, and consume their prey.

Water Skater Groups

Groups of insects that belong to the Gerridae family, characterized by their ability to skate or walk on the surface of water due to surface tension.