Which of the Following Statements Is False

question 7

Multiple Choice

Which of the following statements is false?

• A) The data show a clear preference for equity as a source of external financing for the total population of Canadian firms.
• B) Debt as a fraction of firm value has varied in a range from 30-45% for the average firm.
• C) Capital expenditures greatly exceed firms' external financing, implying that most investment and growth is supported by internally generated funds, such as retained earnings.
• D) Firms in growth industries like biotechnology or high technology carry very little debt, whereas airlines, auto makers, utilities, and financial firms have high leverage ratios.

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Definitions:

Internet

A global system of interconnected computer networks that uses the Internet Protocol suite to communicate between networks and devices.

Modern IT Infrastructure

The contemporary framework of technology components necessary for an organization's IT services, including hardware, software, networks, and facilities, designed to support operations and adapt to current technological advancements.

Evolution Stages

Evolution stages refer to the different phases or periods in the evolutionary development of organisms, technologies, or systems.

Cumulative Evolution

The process in which changes accumulate over time, leading to significant development or transformation in a system, organism, or technology.