Which of the Following Statements Is FALSE

question 57

Multiple Choice

Which of the following statements is FALSE?

• A)There are two potential sources of cash flows from owning a stock.
• B)An investor will be willing to pay a price today for a share of stock up to the point that this transaction has a zero NPV.
• C)An investor might generate cash by choosing to sell the shares at some future date.
• D)Because the cash flows from stock are known with certainty,we can discount them using the risk-free interest rate.

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Definitions:

Adaptive Values

The degree to which a trait enhances the survival and reproductive success of an organism in its environment.

Unmarried Woman

A female who has not entered into the legal or cultural institution of marriage.

Good Looks

A subjective evaluation of an organism's physical appearance, often influencing mate selection and social interaction.

Adaptive Values

The contribution of a trait or behavior to the reproductive success and survival of an organism in its specific environment.