Which of the Following Statements Is FALSE

question 13

Multiple Choice

Which of the following statements is FALSE?

• A)The relative proportions of debt,equity,and other securities that a firm has outstanding constitute its capital structure.
• B)The most common choices are financing through equity alone and financing through a combination of debt and equity.
• C)The project's NPV represents the value to the new investors of the firm created by the project.
• D)When corporations raise funds from outside investors,they must choose which type of security to issue.

---

Definitions:

Displacement

In psychology, a defense mechanism where an individual redirects emotional feelings from their original source to a substitute target.

Behaviour

The way an individual acts or responds when faced with external or internal triggers.

Anger

A strong feeling of displeasure or hostility, often arising in response to perceived wrong or injustice.

Adrenocorticotropic Hormone

A hormone produced by the pituitary gland that stimulates the adrenal cortex to secrete cortisol and other hormones.