Which of the Following Statements Is False

question 24

Multiple Choice

Which of the following statements is false?

• A) A firm must balance the tax costs of holding cash with the potential benefits of having to raise external funds in the future.
• B) Paying out excess cash through dividends or share repurchases can boost the stock price by reducing managers' ability and temptation to waste resources.
• C) If there is a reasonable likelihood that future earnings will be insufficient to fund future positive-NPV investment opportunities, a firm may start accumulating cash to make up the difference.
• D) According to the managerial entrenchment theory of payout policy, managers pay out cash only when pressured to do so by the firm's investors.

Understand the evolution of software costs and factors influencing these changes.

Comprehend the concept and significance of open source software and open systems.

Know the functions performed by systems software and the role of operating systems.

Appreciate the advancements in user interface technologies, including NUIs and speech recognition.

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Definitions:

Theory

A set of principles on which the practice of an activity is based or an explanation of the principles of phenomena.

Confirmation Bias

A cognitive bias that involves favoring information that confirms previously existing beliefs or biases.

Principle Of Falsifiability

The criterion for demarcating scientific from non-scientific statements; a theory must be testable and potentially able to be proven false.

Denialism

The choice to reject information or evidence that conflicts with an individual's beliefs, often seen in contexts such as climate change denial.